TaxExemptionReasonCodes

The codes each system tax rate offers. A sales line sends one in tax_exemption_reason, the invoice discount in its own reason, and a tax rate holds one as its default_exemption_reason. A code is checked against the rate of the line, so a code another rate offers is refused. On a rate that takes no reason, a reason sent is kept but not reported. A foreign tax rate takes the codes of its local treatment in Saudi Arabia, and none in the UAE.

Saudi Arabia

In an organization that reports to ZATCA.

Exempt (SA_SALES_EXEMPT)

• VATEX-SA-29 - Financial services mentioned in Article 29 of the VAT Regulations
• VATEX-SA-29-7 - Life insurance services mentioned in Article 29 of the VAT Regulations
• VATEX-SA-30 - Real estate transactions mentioned in Article 30 of the VAT Regulations

Zero-Rated Exports (SA_EXPORT_SALES_ZERO_RATE)

• VATEX-SA-32 - Export of goods
• VATEX-SA-33 - Export of services

Zero-Rated Domestic Sales (SA_DOMESTIC_SALES_ZERO_RATE)

• VATEX-SA-32(bis) - Supply under Customs Suspension Arrangement
• VATEX-SA-34-1 - The international transport of Goods
• VATEX-SA-34-2 - International transport of passengers
• VATEX-SA-34-3 - Services directly connected and incidental to a Supply of international passenger transport
• VATEX-SA-34-4 - Supply of a qualifying means of transport
• VATEX-SA-34-5 - Any services relating to Goods or passenger transportation, as defined in article twenty five of these Regulations
• VATEX-SA-35 - Medicines and medical equipment
• VATEX-SA-36 - Qualifying metals
• VATEX-SA-DIPLOMAT - Qualified Supplies to Diplomatic Missions
• VATEX-SA-DUTYFREE - Qualified Supply of Goods in Duty Free area
• VATEX-SA-EDU - Private education to citizen
• VATEX-SA-HEA - Private healthcare to citizen
• VATEX-SA-MLTRY - Supply of qualified military goods
• VATEX-SA-ROYALDECREE - Supply on which the Government bears the VAT

Out of Scope (OUT_OF_SCOPE)

No code: the reason written out, up to 1000 characters.

United Arab Emirates

In an organization connected to FTA e-invoicing.

Exempt (AE_SALES_EXEMPT)

• DL8.46.1 - Certain financial services
• DL8.46.2 - Supply of residential units (lease or sale)
• DL8.46.3 - Bare land
• DL8.46.4 - Local passenger transport