Is the VAT Number required for government entity clients?

No. The VAT Number is not required for a client saved as a government entity in Saudi accounts, even when the Saudi E-Invoice app is active. Just enter the entity’s official number in the Contract / Reg No / License No. field.

When you add or edit the client, select the client type Business and check Client is a Government Entity. Then:

• The VAT Number field is always optional, and shows (Optional) for government entities. next to it.
• The C.R / Unified Number field changes to Contract / Reg No / License No., where you enter the entity’s number.
• When you issue an invoice to the entity, the VAT Number is sent to ZATCA if it exists; if not, the Contract / Reg No / License No. is sent instead.

Note: The Client is a Government Entity option appears only if your account is Saudi, the Saudi E-Invoice app is active, and the client type is Business. If you don’t check the option, the client is treated as a regular Business client and the VAT Number is required.