Saudi Networkers receives SAR 12.87M tax assessment notice, fine at SAR 3.69M

Logo of Saudi Networkers Services Co.

Saudi Networkers Services Co. announced that it received, on Oct. 4, a notice from the Zakat, Tax and Customs Authority (ZATCA) containing the results of an audit of its 2024 valued-added tax (VAT) returns. The notice included tax assessments of SAR 12.87 million, in addition to fines of SAR 3.69 million.

In a statement to Tadawul, the company confirmed it accepted the tax differences and is working to complete the related procedures.

ZATCA also confirmed that the period falls under the fine exemption initiative and that the financial fines will be waived upon fulfillment of all applicable conditions.

Saudi Networkers said that it will review the notice and take the necessary statutory measures under applicable laws and regulations.

The company said it had booked provisions of SAR 12.87 million in its financial statements for the year ended Dec. 31, 2025, to cover potential obligations related to the assessment, in accordance with the applicable accounting standards.

The company said that, based on its current assessment, it does not expect any material additional financial impact on its financial statements.

Saudi Networkers noted that determining any additional financial impact, if any, will depend on resolving whether the fines exemption applies.

The company will announce any material developments in due course, the statement added.