The Zakat, Tax, and Customs Au...

The Zakat, Tax, and Customs Authority announced the extension of the initiative to waive fines and grant exemptions from financial penalties for taxpayers subject to all tax systems until June 30, 2024.

The authority clarified that the initiative, originally set to expire on December 31, 2023, has been extended to allow eligible taxpayers to benefit from the initiative, aligning with its goals. One of the main objectives is to alleviate the economic impacts on establishments resulting from the COVID-19 pandemic.

The covered fines in the initiative include penalties for late registration in all tax systems, late payment fines, late filing fines in all tax systems, correction fines for value-added tax declarations, in addition to penalties for violations of field control related to the application of electronic invoicing provisions and other general provisions for value-added tax.

To benefit from the initiative, taxpayers must be registered in the tax system and submit all due declarations to the authority that have not been previously submitted. They must disclose all previously undisclosed taxes correctly, pay the full original tax debt related to the declarations to be submitted or amended for accurate disclosure of tax liabilities. It is also possible to apply for installment payments, provided that the application is submitted during the initiative's validity and all installments are paid according to the approved installment plan.

The initiative does not cover fines related to tax evasion violations or fines paid before the initiative's effective date.

The authority encouraged taxpayers to review the initiative's details, including the simplified guidance available on its website. The guidance provides a detailed explanation of the exemption decision, including the types of covered fines, conditions for exemption, steps for financial obligation installment, and information about violations covered by the initiative, along with illustrative examples.

Taxpayers were urged to take advantage of the initiative's extension within the specified period and contact the authority for any inquiries through the unified call center (19993), the "Ask Zakat, Tax, and Customs" account on the X platform (Zatca_Care@), or via email ([email protected]) or instant messaging through the authority's website (zatca.gov.sa).