Audience: This blog is intended to explain the ZATCA’s Phase-2 E-Invoicing process to a Taxpayer/EGS user in Saudi Arabia. So, I will address the “Taxpayer” as “you” throughout this blog.

Abbreviations used:

• EGS: E-Invoice Generation Solution
• ZATCA: General Authority for Zakat, Tax, and Customs Authority
• CSID: Cryptographic Stamp Identifier
• CSR: Certificate signing request
• TIN: Tax Identification Number
• ICE: E-Invoice Clearance Engine

Overview: With successful ZATCA Phase-1 E-Invoicing rolled out on 4 December 2021, Phase-2 is commencing in waves by January 1, 2022. Phase-2 E-Invoicing is also called the integration phase. The compliant EGS purchased by you in Phase-1 should now be integrated with ZATCA through the Fatoora Portal for reporting/clearance of invoices/notes. The integration process aims to automatically share the tax documents with ZATCA throughout the Financial year. ZATCA has published the detailed integration procedure for Phase-2 which involves several steps that should be completed by the given deadline. ZATCA portal will notify you 6 months prior time for the integration process being completed.

Integration procedure:

• Onboarding EGS in Fatoora Portal
• Reporting/Clearance with ZATCA through APIs
• Renewal/Revocation of the Production CSID

Let’s discuss the Onboarding process in detail:

EGS Onboarding in simple terms is registering your EGS unit(s) on the Fatoora Portal with the TIN and identifier details about the EGS unit. On successful completion of the onboarding process, you’ll receive a production CSID(Cryptographic Stamp Identifier).

Examples:

• Taxpayers can onboard a single EGS unit(has invoicing operation in one branch) with the Fatoora Portal with the identifier details of the EGS.
• Taxpayers(having one TIN) with multiple EGS(having invoicing operations in multiple branches) can onboard multiple EGS units with Fatoora Portal. Here, every EGS unit should be uniquely identifiable with the identifier details the taxpayer provides while onboarding.

Steps for onboarding the EGS unit with the Fatoora Portal:

          https://login.gazt.gov.sa

• Obtain OTP from the Fatoora Portal
• Raise CSR request
• Clear the EGS compliance check by uploading sample invoices/notes
• Raise production CSID request

For CSR request you need this information required

EGS Serial Number: 

If we get on boarding successful , you can generate qr code for B2B standard invoices, customer will receive print QR code that will be signed from zatca, its status: cleared

the other invoice type simplified you report the data to zatca within 24 hours for B2C invoices , reporting status: reported

as you got CSID, now you have to perform test invoices, then check on button PCSID

after that you can see your device listed on zatca simulation portal

The FSP portal can be accessed via a dedicated tile on the Fatoora portal for taxpayers. It is to be noted that the FSP is not intended for generating actual invoices. Instead, it should be used for testing with dummy or historical data. Hence the response in the FSP shouldn't be considered as an official clearance or reporting of the documents by ZATCA. 

Odoo Database Set-up

Apps to install

https://apps.odoo.com/apps/modules/16.0/ksa_zatca_integration/

Testing our application with zatca odoo side , its important 

Company set up on Simulation portal

• Assign a serial number, common organization name, you can choose any unique serial number for your company, invoice type, 1100 stand for both standard, simplified both, for otp you can get from fatoora portal
• If you face any issues during the onboarding, click on regenerate CSR, and repeat the steps.

Company Information:

From the settings, update the following company information:

• Full Company Name
  
• Full Company Address: Street, City, State, Zip, Country
  
• Building Number, plot identification Note that both fields should have 4 digits each.
  
• Neighborhood
  
• Identification Scheme
  
• Identification Number: It is highly recommended to use the commercial registration number as the identification scheme
  
• VAT number
  
• Company Currency as (SAR)

Fill the customers/vendors contact information following the steps below:

• Full Company Name
  
• Full address including country, state, city, neighborhood, building number, plot number, zip code, and identification scheme using the company registration number and VAT number.
  
• If the customer is an individual, fill their full name and any additional information as per your CRM needs.
  
• Make sure to use the selection on the top left to indicate your customer is a company or an individual.
  

Testing

1. Create your invoices using the Odoo standard workflow. After confirmation of the invoice, you will have an option send to zatca for compliance button invoice now.
2. you can test invoice type: standard/ simplified both by choose type in invoice field.
3. If you are using your Odoo testing/staging database, feel free to send dummy invoices to fully test your workflow on Simulation portal.
   
4. If you are using your Odoo live/production database, keep the environment as simulation on the settings page to test all invoicing scenarios that you may face during your sales cycle to ensure you do not have any issues at any point in the future.

about qr code, it has 5 values from phase 1 but extra information below added too 

Fatoora Phases/Waves information Link

https://zatca.gov.sa/en/E-Invoicing/Introduction/Pages/Roll-out-phases.aspx

Fatoora Portal Login link

https://login.gazt.gov.sa

Fatoora Portal Document link

https://zatca.gov.sa/en/E-Invoicing/Introduction/Guidelines/Documents/Fatoora_Portal_User_Manual_English.pdf

Developer portal/sandbox api link

https://gw-fatoora.zatca.gov.sa/e-invoicing/developer-portal

simulation portal api link

https://gw-fatoora.zatca.gov.sa/e-invoicing/simulation

Live Production api link

https://gw-fatoora.zatca.gov.sa/e-invoicing/core

Fatoora Technical Details Document link

https://zatca.gov.sa/ar/E-Invoicing/Introduction/Guidelines/Documents/E-invoicing Detailed Technical Guidelines.pdf

Security Feature Document link

https://zatca.gov.sa/ar/RulesRegulations/Taxes/Documents/20210528_ZATCA_Electronic_Invoice_Security_Features_Implementation_Standards_vShared.pdf

Data Dictionary Document link

https://zatca.gov.sa/ar/E-Invoicing/SystemsDevelopers/Documents/20230519_EInvoice_Data_Dictionary vF.xlsx