Oman’s Tax Authorities announced the postponement of the mandatory B2B e-invoicing system to an unspecified date in 2025, citing technical challenges.
Initially, the system was set to be introduced on a voluntary basis in April 2024, with mandatory implementation slated for October 2024. However, delays in detailed design and system specifications have led to the deferral.
The Sultanate of Oman, which introduced VAT in April 2021, aims to streamline VAT compliance and enhance transparency through structured e-invoices with this e-invoicing initiative. Despite these goals, the lack of clear guidelines and technical specifications have caused the postponement.
It remains uncertain if Oman will adopt a pre-clearance Continuous Transaction Control (CTC) model, wherein tax authorities would receive and validate invoices before they are recognised as VAT invoices, a system that could potentially enhance compliance and reduce fraud.
Businesses now face challenges such as investing in compatible software, training staff on new procedures, and ensuring system interoperability with both national and international standards. While the delay provides additional time for preparation, it is essential for businesses to stay informed about upcoming specifications and requirements from the Tax Authority.
