The Zakat, Tax, and Customs Authority (ZATCA) has extended its Cancellation of Fines and Exemption of Penalties initiative until December 31, 2024. This initiative provides exemptions for fines related to delayed tax registration, late payments, overdue return filings, VAT return corrections and breaches of VAT regulations, including e-invoicing.
To qualify, taxpayers must register with the tax system, submit any unfiled returns, and settle all outstanding tax debts. The initiative also allows taxpayers to apply for an instalment plan, which must be submitted within the initiative’s timeframe, with all payments made according to the approved schedule.
Penalties related to tax evasion and fines paid before the initiative are excluded from this exemption.
ZATCA encourages taxpayers to consult the simplified guide on its website for detailed information on the penalties, exemption conditions, and instalment payment procedures.
