In Saudi Arabia, a simplified invoice is a type of e-invoice designed for low-value transactions and to streamline the invoicing process for businesses that don't need to issue detailed invoices.

Key Features of a Simplified Invoice in KSA:

For Low-Value Transactions:

It is typically issued for transactions below a certain threshold (e.g., SAR 500), where the amount is small and detailed invoicing is not necessary.

Minimal Information:

Simplified invoices include only basic information, such as:

• Seller’s name and VAT number
• Date of the transaction
• Total amount including tax
• Description of goods or services
• Buyer’s name (if applicable)

No Need for Buyer’s Tax Identification Number (TIN):

• Unlike standard invoices, a simplified invoice doesn't require the buyer's VAT number or other complex details.

No Detailed Breakdown:

• The detailed breakdown of goods or services and taxes may not be required in a simplified invoice, making it quicker and easier for businesses to issue.

Purpose:

• Simplified invoices are meant for faster processing of small-value transactions, especially for retail or consumer sales.