Cost Center
مركز تكلفة
📖 Definition
A cost center is an organizational unit that incurs costs but doesn't directly generate revenue. Used for tracking expenses by department, project, or location.
In everyday Saudi accounting work, cost center matters because it affects invoice accuracy, financial reporting, tax filing, or ZATCA compliance depending on the transaction.
📖 التعريف بالعربية
مركز التكلفة هو وحدة تنظيمية تتحمل تكاليف لكنها لا تولد إيرادات مباشرة. يُستخدم لتتبع المصروفات حسب القسم أو المشروع أو الموقع.
💡 Example
Marketing department is a cost center - its expenses are tracked separately from revenue-generating sales.
قسم التسويق مركز تكلفة - يتم تتبع مصروفاته بشكل منفصل عن المبيعات المولدة للإيرادات.
When this term matters
Invoices
Use the correct term and value before issuing ZATCA-compliant invoices or credit notes.
Reports
Map it to the right account, tax field, or compliance report to avoid reconciliation gaps.
Compliance
Keep the Arabic and English meaning aligned when working with auditors, ZATCA, or customers.
Automate Cost Center with Qeemah
Qeemah accounting software handles cost center automatically, ensuring ZATCA compliance and reducing manual work.