{"id":4338,"date":"2026-10-16T12:32:10","date_gmt":"2026-10-16T12:32:10","guid":{"rendered":"https:\/\/tme-legal.com\/e-invoicing-uae-saudi-arabia-2026\/"},"modified":"2026-10-16T12:46:16","modified_gmt":"2026-10-16T12:46:16","slug":"e-invoicing-uae-saudi-arabia-2026","status":"publish","type":"post","link":"https:\/\/tme-legal.com\/en\/e-invoicing-uae-saudi-arabia-2026\/","title":{"rendered":"E-Invoicing Side by Side: Saudi Arabia Wave 25 and the UAE Rollout"},"content":{"rendered":"[vc_row type=”full_width_background” full_screen_row_position=”middle” column_margin=”50px” column_direction=”default” column_direction_tablet=”default” column_direction_phone=”default” scene_position=”center” text_color=”dark” text_align=”left” row_border_radius=”none” row_border_radius_applies=”bg” overlay_strength=”0.3″ gradient_direction=”left_to_right” shape_divider_position=”bottom” bg_image_animation=”none” class=”blog-image”][vc_column column_padding=”no-extra-padding” column_padding_tablet=”inherit” column_padding_phone=”inherit” column_padding_position=”all” column_element_spacing=”default” background_color_opacity=”1″ background_hover_color_opacity=”1″ column_shadow=”none” column_border_radius=”none” column_link_target=”_self” gradient_direction=”left_to_right” overlay_strength=”0.3″ width=”1\/1″ tablet_width_inherit=”default” bg_image_animation=”none”][image_with_animation image_url=”4336″ alignment=”” animation=”None” border_radius=”none” box_shadow=”none” max_width=”125%”][\/vc_column][\/vc_row][vc_row type=”in_container” full_screen_row_position=”middle” column_margin=”60px” column_direction=”default” column_direction_tablet=”default” column_direction_phone=”default” scene_position=”center” text_color=”dark” text_align=”left” row_border_radius=”none” row_border_radius_applies=”bg” overlay_strength=”0.3″ gradient_direction=”left_to_right” shape_divider_position=”bottom” bg_image_animation=”none” top_padding=”60″ bottom_padding=”80″][vc_column column_padding=”no-extra-padding” column_padding_tablet=”inherit” column_padding_phone=”inherit” column_padding_position=”all” column_element_spacing=”default” background_color_opacity=”1″ background_hover_color_opacity=”1″ column_shadow=”none” column_border_radius=”none” column_link_target=”_self” gradient_direction=”left_to_right” overlay_strength=”0.3″ width=”1\/4″ tablet_width_inherit=”default” sticky_content=”true” sticky_content_functionality=”css” bg_image_animation=”none”][nectar_global_section id=”1425″][\/vc_column][vc_column column_padding=”no-extra-padding” column_padding_tablet=”inherit” column_padding_phone=”inherit” column_padding_position=”all” column_element_spacing=”default” background_color_opacity=”1″ background_hover_color_opacity=”1″ column_shadow=”none” column_border_radius=”none” column_link_target=”_self” gradient_direction=”left_to_right” overlay_strength=”0.3″ width=”3\/4″ tablet_width_inherit=”default” bg_image_animation=”none”][vc_row_inner column_margin=”default” column_direction=”default” column_direction_tablet=”default” column_direction_phone=”default” text_align=”left”][vc_column_inner column_padding=”no-extra-padding” column_padding_tablet=”inherit” column_padding_phone=”inherit” column_padding_position=”all” column_element_spacing=”default” background_color_opacity=”1″ background_hover_color_opacity=”1″ column_shadow=”none” column_border_radius=”none” column_link_target=”_self” gradient_direction=”left_to_right” overlay_strength=”0.3″ width=”5\/6″ tablet_width_inherit=”default” bg_image_animation=”none”][vc_column_text]\n

October 2026 – Tax Law – Compliance<\/em><\/p>\n

Both the UAE and Saudi Arabia<\/a> are tightening their electronic invoicing requirements. In the UAE, businesses with annual revenue of AED 50 million or more must appoint an accredited service provider (ASP) by 30 October 2026, and the obligation applies from 1 January 2027. In Saudi Arabia, the tax authority ZATCA has halved the revenue threshold for connecting to the Fatoora platform from SAR 375,000 to SAR 187,500 with Wave 25; the deadline is 1 February 2027.<\/p>\n

For companies active in both countries this is more than a scheduling issue: the systems follow different technical models, have different rollout schedules and different penalties.<\/p>\n

This article sets the two regimes side by side, explains the key differences and shows what companies should do now.<\/p>\n

The Two Systems at a Glance<\/h2>\n\n\n\n\n\n\n\n\n\n\n\n
Criterion<\/th>\nUAE<\/th>\nSaudi Arabia<\/th>\n<\/tr>\n<\/thead>\n
Authority<\/td>\nMinistry of Finance (MoF) and Federal Tax Authority (FTA)<\/td>\nZakat, Tax and Customs Authority (ZATCA)<\/td>\n<\/tr>\n
Technical model<\/td>\nDecentralised: exchange through accredited service providers (five-corner Peppol model), reporting to the FTA<\/td>\nCentralised: API connection to ZATCA's Fatoora platform<\/td>\n<\/tr>\n
Invoice format<\/td>\nStructured XML invoice under PINT AE; PDF, Word or scans do not qualify<\/td>\nXML invoice (UBL 2.1) with cryptographic stamp, UUID and QR code<\/td>\n<\/tr>\n
Transactions covered<\/td>\nB2B and B2G; B2C excluded until further notice<\/td>\nB2B invoices are cleared by ZATCA before issue; simplified B2C invoices must be reported within 24 hours<\/td>\n<\/tr>\n
Rollout<\/td>\nBy revenue size: AED 50m or more (1 Jan 2027), below (1 Jul 2027), government (1 Oct 2027)<\/td>\nIn waves by taxable revenue; most recently Wave 25<\/td>\n<\/tr>\n
Next deadline<\/td>\n30 October 2026: appoint an ASP (AED 50m or more in revenue)<\/td>\n1 February 2027: integration complete (Wave 25)<\/td>\n<\/tr>\n
Penalties<\/td>\nAED 5,000 per month; AED 100 per invoice (max. AED 5,000 per month); AED 1,000 per day for late notifications<\/td>\nReportedly SAR 5,000 to SAR 50,000<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

UAE: What Applies Now<\/h2>\n

The rollout runs in stages by annual revenue. Revenue means gross income for the most recent accounting period, not profit. A voluntary pilot phase has been running since 1 July 2026. Business-to-business transactions and supplies to government entities are covered; however, transactions with individuals who are not acting in a business capacity are not. VAT registration<\/a> alone does not decide whether a transaction is in scope.<\/p>\n\n\n\n\n\n\n\n
Category<\/th>\nAppoint ASP by<\/th>\nMandatory from<\/th>\n<\/tr>\n<\/thead>\n
Annual revenue of AED 50m or more<\/td>\n30 October 2026<\/td>\n1 January 2027<\/td>\n<\/tr>\n
Annual revenue below AED 50m<\/td>\n31 March 2027<\/td>\n1 July 2027<\/td>\n<\/tr>\n
Government entities<\/td>\n31 March 2027<\/td>\n1 October 2027<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

The deadline to appoint a provider for larger businesses was earlier moved from 31 July to 30 October 2026. The 1 January 2027 start date was left unchanged.<\/p>\n

New Since 1 October 2026: Only Fully Accredited Providers<\/h2>\n

Under Ministerial Decision No. 168 of 2026, which took effect on 1 October 2026, the Ministry of Finance abolished the preliminary approval stage for service providers. Providers may now offer their services only once fully accredited. Providers with preliminary approval have 30 days from 1 October to meet the requirements. Companies should therefore check their provider’s accreditation status before signing a contract.<\/p>\n

Penalties in the UAE<\/h2>\n

Under Cabinet Decision No. 106 of 2025, businesses required to use the system face the following administrative penalties:<\/p>\n