ZATCA Invoice Number Format & Requirements

ZATCA's e-invoicing Phase 2 (Fatoora) requires all invoices to have a unique, sequential invoice number encoded in the QR code. This article explains the rules and best practices.

ZATCA Invoice Number Format

The standard format is: PREFIX-NNNNNNNN

• Prefix: 1-3 characters (e.g., INV, SAL, PO)
• Numbers: 8 digits, zero-padded (00000001 to 99999999)
• Example: INV-00000001, SAL-00001234

ZATCA Invoice Number Rules

1. Uniqueness: Each invoice number must be unique within your company's records
2. Sequentiality: Numbers should be assigned sequentially (no gaps or duplication)
3. Persistence: Once assigned, an invoice number cannot be reused or changed
4. QR Encoding: The invoice number is encoded in Tag 13 of the ZATCA QR code
5. Audit Trail: Maintain a complete audit trail for all invoice numbers assigned

Best Practices for Invoice Numbering

• Use a prefix: Makes it easier to identify invoice types (e.g., INV for regular, CRN for credit note)
• Start with 00000001: Simplifies tracking and auditing
• Reset annually or per fiscal year: Prevents numbers from exceeding 8 digits
• Document your scheme: Keep records of your numbering policy for compliance
• Automate in your ERP: Use a system to prevent manual errors or duplicates

Common Mistakes to Avoid

• ❌ Reusing invoice numbers across different billing periods
• ❌ Manually entering invoice numbers inconsistently
• ❌ Using numbers with more than 8 digits
• ❌ Not maintaining an audit trail of assigned numbers
• ❌ Changing invoice numbers after issuance