ZATCA approves amendments to VAT Law Executive Regulations

Riyadh: The board of Zakat, Tax, and Customs Authority (ZATCA) approved amendments to the Executive Regulations of the Value-Added Tax Law, which will come into effect as of April 18, the date of their publication in the official gazette. Under the amendments, the tax group representative registered with the authority prior to the issuance of this decision will be granted a period of no less than 180 days, starting from the date of the decision publication, to adjust the status of the tax group in accordance with the amendments included in Article 10 of the VAT Executive Regulations.

The amendments included a set of new controls related to ceasing or transferring the conduct of economic activities, as well as regarding goods subject to the zero percent rate, and the mechanism and conditions for tax recovery. If a taxable person ceases to engage in economic activity, including the dissolution of a legal entity, or transfers the activity, they should cancel their registration. The cancellation will take effect from the date determined by the authority after approving the cancellation, provided that all tax requirements are fulfilled for the cancellation request to be approved.