30 June 2024 Deadline Approaching for Critical Tax Events

As the deadline of 30 June 2024 approaches, businesses operating in the Kingdom of Saudi Arabia (KSA) are urged to be aware of several critical tax events. This deadline marks a significant point in the tax compliance calendar, requiring prompt action to ensure compliance and maximize potential benefits. 

Below are the key events that businesses should pay close attention to:

1. End of Tax Amnesty in KSA: With several extensions in the past, the likelihood of a further extension seems low. This could possibly be the final opportunity to regularize any undisclosed tax obligations and avoid penalties. Businesses in KSA should carefully analyze their tax affairs and take necessary actions before this deadline.
2. Non-Resident Refund Claims for Fiscal Year 2023 (FY23): Businesses eligible for Value Added Tax (VAT) refunds under the guidelines of the Zakat, Tax, and Customs Authority (ZATCA) must not overlook the due date for filing refund claims for FY23. It is imperative to assess eligibility and submit claims before the deadline to mitigate potential losses.
3. Licensed Real Estate Developer (LRED) Input VAT Claims for FY23: LREDs must prioritize filing input VAT claims for FY23 by 30 June 2024. Thoroughly reviewing records, identifying eligible input VAT, and submitting claims promptly is essential. Missing this deadline could result in missed opportunities for input VAT recovery.

Please note that both non-resident claims and LRED refund claims require the taxpayer to obtain an 'Eligible Person' (EP) status from ZATCA, which could be time-consuming. As the deadline rapidly approaches and with the upcoming Eid breaks, businesses should remain vigilant and make informed decisions regarding their tax obligations. 

Engaging with tax professionals is crucial to assess the state of affairs and take necessary actions to ensure compliance and optimize potential refund opportunities.

How can Deloitte help?

Deloitte offers comprehensive support for businesses navigating the VAT refund process and other tax obligations in KSA. Our services include eligibility assessment, EP registration guidance, preparation and submission of VAT refund applications, ongoing support, communication, and dispute resolution assistance. 

To learn more about how Deloitte can support your business, please refer to our flyer available here. For personalized assistance, contact your usual Deloitte representative or reach out to one of our Indirect Tax experts listed below.