Businesses operating in Saudi Arabia are subject to registration and reporting obligations with the Zakat, Tax and Customs Authority (ZATCA), where applicable. Depending on ownership structure, companies may be liable for Zakat, corporate income tax, or both.
Zakat is a religiously mandated contribution applied to Saudi and Middle East owned entities and is calculated in accordance with current regulatory frameworks. Corporate income tax applies to foreign-owned entities and is assessed on taxable profits generated within the Kingdom.
ZATCA is the government authority responsible for administering tax registration, compliance, audits and enforcement across Saudi Arabia. Failure to register correctly or align documentation with operational activities can result in financial penalties, audit exposure and regulatory complications.
We guide clients through VAT and corporate tax registration processes in line with current ZATCA requirements. By ensuring submissions are accurate, timely and aligned with the company’s structure and activities within the country, we help safeguard compliance and reduce regulatory risk.
