Riyadh: The Zakat, Tax and Customs Authority (ZATCA) announced that the minister of finance has approved the extension of the Cancellation of Fines and Exemption of Financial Penalties Initiative for taxpayers subject to all tax laws for an additional six months, effective from July 1, 2026. According to Saudi Press Agency, ZATCA stated that the initiative covers exemptions from fines for late registration under all tax laws, late payment, late filing of tax returns, and penalties related to correcting value-added tax (VAT) returns. ZATCA explained that taxpayers wishing to benefit from the initiative must be registered with ZATCA, submit all outstanding tax returns, and pay the full principal amount of any outstanding tax liabilities. Taxpayers may also apply for an installment plan during the initiative's validity period, provided the application is submitted before the initiative expires and all approved installments are paid on their scheduled due dates. ZATCA clarified that the initiative does not cov er penalties related to tax evasion violations, penalties imposed under Article 45 of the Value Added Tax Law, fines paid before the initiative came into effect, or penalties associated with tax returns due after June 30, 2026. It added that if the initiative is extended beyond December 31, 2026, any future extension will likewise exclude fines related to tax returns due after June 30, 2026. ZATCA urged all taxpayers to take advantage of the extended initiative before it expires on December 31, 2026. For inquiries, taxpayers may contact ZATCA through its unified call center 19993, available 24 hours a day, seven days a week, via the "Ask Zakat, Tax and Customs" account on the X platform (@Zatca_Care), by email at [email protected], or through the live chat service available on ZATCA's website.