Articles

Real Estate Transaction Tax in Saudi Arabia: Comprehensive Guide

Real Estate Transaction Tax is a 5% tax imposed on real estate transactions in the Kingdom of Saudi Arabia, with its provisions and exemptions updated following the implementation of the new law. This tax applies to all natural and legal persons who engage in real estate transactions within the Kingdom, and taxable transactions include sales, ownership transfers, and long-term usufruct rights. This guide provides a comprehensive explanation of the Real Estate Transaction Tax according to the latest laws and regulations, helping taxpayers understand their tax obligations and proper compliance methods.
Understanding Temporary and Permanent Accounts and the Difference Between Them

In accounting, not all accounts are the same. Some stay with you throughout the company's life and accumulate their balance year after year, while others live for only one year, then are zeroed out and start fresh. Understanding this fundamental difference is the basis for understanding how financial statements work, and why we close some accounts at the end of the year while leaving others to continue. In this article, we will explain the difference between temporary and permanent accounts, the importance of each type, and why they are treated differently.
What is IFRS 9? Comprehensive Guide with Illustrative Examples

In the world of financial accounting, IFRS 9: Financial Instruments is one of the most important international standards issued by the International Accounting Standards Board (IASB). This standard was issued in July 2014 and became effective from January 1, 2018, aimed at improving transparency and accuracy in financial reporting related to financial instruments. IFRS 9 replaces the previous standard IAS 39, and provides a simpler and more logical approach to classifying and measuring financial instruments, addressing impairment, and hedge accounting. In this comprehensive article, we will review the definition of IFRS 9, its objectives, scope, fundamental principles, changes from IAS 39, and illustrative examples of its application. We will use a mix of explanatory paragraphs, numbered points, and tables to ensure clarity and comprehensiveness.
How to Issue VAT Certificate 2025

The VAT certificate is an essential official document for every Saudi establishment. With the General Authority of Zakat, Tax and Customs tightening requirements, obtaining this certificate has become necessary for the continuity of your business operations. Mezan Accounting Software provides an integrated solution that helps small businesses extract and manage VAT certificates with high efficiency.
What is an Income Statement?

An income statement is one of the most important fundamental financial statements in accounting, also known as a profit and loss statement or statement of operations. This statement represents a comprehensive and organized summary of a company's financial performance over a specific time period, displaying in detail all revenues the company earned and expenses it incurred to achieve these revenues. The primary objective of an income statement is to measure the company's profitability and determine its ability to generate profits from its business operations, in addition to providing valuable information for investors, lenders, and management to make informed financial and investment decisions.
What are Inclusive and Exclusive Taxes?

This comprehensive guide explains the difference between inclusive taxes (which are part of the price) and exclusive taxes (which are calculated separately from the price), with practical examples and an explanation of their application in Saudi Arabia, especially regarding Value Added Tax (VAT) and companies' obligations to pay it.
Phase 2 of Electronic Invoicing in KSA

The Kingdom of Saudi Arabia is witnessing significant development in its digital tax systems through the implementation of Phase 2 of the electronic invoicing system. This Phase 2, known as the "Integration and Connectivity Phase," represents a qualitative leap in tax invoice management and aims to enhance transparency and combat tax evasion through direct integration with the "Fatoora" platform operated by the Zakat, Tax and Customs Authority (ZATCA). ZATCA began implementing Phase 2 of the electronic invoicing system on January 1, 2023, with the first group of taxpayers.
What is the Accounting Cycle: A Comprehensive Guide to Accounting Fundamentals

The accounting cycle serves as the backbone of any effective accounting system, representing a systematic process that ensures accurate financial recording and reliable financial reporting. In this comprehensive guide, we'll explore everything you need to know about the accounting cycle and its critical importance in business management.
Comprehensive Guide to Value Added Tax (VAT) in Saudi Arabia

The Kingdom of Saudi Arabia implemented the Value Added Tax (VAT) system on January 1, 2018, starting at a rate of 5% and later increasing it to 15% in July 2020. VAT is an indirect tax imposed on most goods and services provided within the Kingdom. This comprehensive guide presented by Mezan aims to help small and micro business owners understand their tax obligations in accordance with the General Authority for Zakat and Tax (ZATCA) regulations.
What is an Accounting System?

An accounting system is a system used to organize an organization's financial data through a database that allows recording and storing input information and enables performing various financial operations through it.
What Are Accounting Standards?

Accounting standards are a set of recognized principles and guidelines aimed at ensuring proper and transparent financial disclosure. These standards define the methods and practices that must be followed in preparing and presenting financial statements. They also help ensure financial transparency and facilitate comparison between the financial data of different companies and institutions.
Best Accounting Job Opportunities in Saudi Arabia for 2025

The accounting field in Saudi Arabia is experiencing continuous development and increasing demand for skilled professionals in this vital sector. With the major economic transformations taking place in the Kingdom under Vision 2030, the need for accountants has become more urgent than ever. Accounting plays a pivotal role in the success of companies and institutions, from managing daily financial affairs to long-term strategic planning, making accountants essential partners in the Kingdom's economic growth journey.