Arab Sea says e-invoicing agreement with ZATCA to increase market share

Haitham Al-Suhaibani, CEO of Arab Sea Information Systems Co.

Arab Sea Information Systems Co.'s market share and number of clients are expected to increase in the coming period after signing e-invoicing agreement with the Zakat, Tax and Customs Authority (ZATCA), Chief Executive Officer (CEO) Haitham Al-Suhaibani told Argaam in an exclusive.

The company currently has more than 84,000 clients, Al-Suhaibani noted, adding that the e-invoicing aims to reduce the administrative burdens on taxpayers, raise tax compliance rates, reduce the volume of hidden economy transactions, in addition to combating commercial concealment.

Commenting on the second-quarter financials, Al-Suhaibani said the company witnessed an improvement in the level of revenue compared to a year earlier, due to the impact of COVID-19 pandemic.

"We hope figures will be positive in the third quarter based on the existing data," he noted.

Regarding Arab Sea Financial Co., the top executive confirmed that the company seeks to fulfill the requirements for obtaining the final approval from the central bank and begin operations directly. "The aim of establishing this company is to diversify sources of income and entering a promising market in the Kingdom."

Arab Sea signed a cooperation agreement with ZATCA to provide technical solutions and accounting systems for issuing e-invoicing and e-notifications that comply with provisions of e-invoicing regulation in Saudi Arabia, according to data compiled by Argaam.

ZATCA earlier launched the Fatoora project, which will become mandatory in the Kingdom, starting Dec. 4.