Saudi Arabian VAT registration

What are the Saudi Arabian VAT registration thresholds?

Resident and non-resident businesses performing taxable supplies must register with the tax authorities within 20 days of passing the VAT registration threshold. Businesses must evaluate if they have exceeded the threshold on a monthly basis. The registration threshold will be SAR375,000.

  • VAT registrations may be back or forward dated
  • Zero-rated or ‘gift’ supplies will not count towards the VAT registration threshold; but supplies received under the reverse charge will
  • Voluntary VAT registrations for businesses under the annual threshold will be permitted
  • Anti-splitting rules are included, designed to prevent avoiding the VAT registration threshold

What information is required when submitting a Saudi Arabian VAT number and registration?

All VAT registration applications are made electronically, with the following information:

  • Name of business, including ID information
  • Address of business, including email contact details
  • Commercial registration numbers
  • Date of VAT registration
  • Value of annual taxable supplies

Saudi Arabian VAT deregistrations

VAT deregistrations may be required where the taxable supplies cease, or fall below the annual VAT registration threshold

Do I need a Saudi Arabian tax agent?

  • Non-resident tax payers may use a tax agent or register directly
  • Non-residents must appoint a Tax agent, who must be approved by the tax authorities
  • Tax agents are joint and severally liable for the tax payer’s VAT liabilities
  • VAT Group registrations, where connected businesses apply for a single, combined registration and ID are permitted. The criteria for this includes:
    • Only resident businesses
    • Common control of the businesses
    • As least one of the businesses must be eligible for VAT registration in their own right
    • One of the businesses will be nominated as the reporting entity

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