The Zakat, Tax and Customs Authority has announced the issuance of a decision by the Minister of Finance to extend the initiative for waiving penalties and exempting financial sanctions for taxpayers subject to all tax systems for an additional six months, until December 31, 2024.
The Authority stated that the extension aims to enable eligible taxpayers to benefit from the initiative, which seeks to mitigate the economic impacts on businesses resulting from the COVID-19 pandemic.
The initiative includes waivers for penalties related to late registration in all tax systems, late payment, late submission of returns in all tax systems, and correction of VAT returns. It also covers penalties related to field violations concerning the implementation of e-invoicing rules and other general VAT provisions.
To benefit from the initiative, taxpayers must be registered in the tax system, submit all due returns that have not been previously filed, disclose all undeclared taxes accurately, and fully pay the principal tax debt related to the returns being submitted or corrected. Taxpayers may apply for installment plans, provided the request is submitted during the initiative’s validity and all installments are paid on time according to the approved installment plan. The initiative does not cover penalties associated with tax evasion violations or fines paid before the initiative’s effective date.
The Authority urged taxpayers to review the initiative details, available in a simplified guide on its website. The guide provides a detailed explanation of the key aspects of the penalty waiver decision, including the types of penalties covered, conditions for exemption, steps for installment payments, and an overview of field violations included in the initiative, with illustrative examples.
Taxpayers are encouraged to take advantage of the initiative within the specified period and to contact the Authority for any inquiries via the unified call center number (19993), available 24/7, or through the “Ask Zakat and Tax” account on Platform X (formerly Twitter) at (Zatca_Care@), email (info@zatca.gov.sa), or live chat on the Authority’s website (zatca.gov.sa).
