Saudi Arabia Waives Tax Fines Until End Of June

Saudi Arabia has waived tax fines and penalties in the country.

The Zakat, Tax and Customs Authority (ZATCA) has urged all taxpayers to take advantage of the Cancellation of Fines and Exemption of Penalties Initiative, which ends on June 30, 2025.

According to ZATCA, the fines covered by the exemption include:

  • Fines for late registration
  • Late payment
  • Late filing of return fines in all tax laws
  • Fines to correct VAT returns
  • Fines for violations of VAT field control related to applying the e-invoicing regulations and other VAT general regulations

Saudi tax fines

The initiative stipulated that for taxpayers to benefit from the exemption, they had to be registered with the tax system and submit all previously unsubmitted returns to ZATCA, as well as pay all the principal tax debt associated with the outstanding returns.

Taxpayers can also request an instalment plan from ZATCA as long as the application is submitted while the initiative is still in effect and all due instalments are paid by the due dates specified in the authority-approved instalment plan.

It is important to note that the initiative excludes penalties related to tax evasion violations and fines paid before the initiative’s effective date.

ZATCA has invited taxpayers to view the details of the initiative through the simplified guideline available on its website, which includes a detailed explanation of the most important aspects of the decision such as the types of penalties that are included in the decision, the conditions for benefiting from the exempt fines, the steps for instalment financial dues, and field control violations.

ZATCA urges all Saudi taxpayers to benefit from the initiative during the specified period, which ends in June 2025.

Additionally, the authority encourages taxpayers to reach out if they have any inquiries via:

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