Learn about the Date of Supply for VAT in Saudi Arabia - FAQs

What is the date of supply?

The date of supply refers to the effective date of the transaction for tax purposes. The supplier is obligated to levy taxes on the supply as of this date.

How do I determine the date of supply for a one-time sale of goods?

The date of supply for a one-time sale of goods is the date on which one of the following scenarios occurs:

• If the goods are supplied to the customer using any form of transportation, the date of supply is when the transportation begins.
• If the supply of goods do not require transportation, the date of supply is when the goods are in the customer’s possession.
• If there is any assembly or installation required, the date of supply is when the assembly or installation process is complete.

How do I determine the date of supply for a one-time supply of services?

The date of supply for a one-time service is when you finish providing the service.

How do I determine the date of supply for continuous supplies of goods and services?

Continuous supplies of goods and services, and the payment for these supplies take place over a period of time. The date of supply for every individual payment is when the payment is made or when the invoice is issued (whichever comes first). 

If you haven’t issued an invoice or received any payment for an installment, then the date of supply will be the later of either:

• at the end of 12 months after the date the supply started, or
• the date of supply for the previous supply made