Oman Defines E-Invoicing Roadmap and Service Provider Accreditation Standards
The Oman Tax Authority (OTA) has released comprehensive details regarding the implementation of its mandatory electronic invoicing system, known as the Fawtara initiative. These updates establish a definitive timeline for the phased rollout, clarify the operational model, and set strict accreditation criteria for service providers.
Phased Implementation Timeline
The OTA has confirmed a structured rollout schedule designed to gradually bring taxpayers into scope based on their size and VAT registration status. The mandate will proceed as follows:
- August 2026: Launch of the pilot phase involving 100 large VAT-registered taxpayers.
- February 2027: Mandatory adoption for all large VAT-registered companies.
- August 2027: Extension of the mandate to all remaining VAT-registered taxpayers.
- TBA: A separate timeline for government institutions and entities will be announced at a later date.
Operational Framework: The 5-Corner Model
The OTA has adopted a 5-corner model to facilitate the exchange of electronic documents. This decentralized approach ensures real-time reporting of tax data while leveraging accredited intermediaries. Under this framework, the supplier issues the invoice to the accredited service provider, who reports it to the OTA system and forwards it to the buyer’s service provider.
Service Provider Accreditation Criteria
To support this ecosystem, the OTA has published detailed accreditation guidelines. Entities seeking to operate as Accredited Service Providers in Oman must meet stringent financial, legal, and technical prerequisites.
Financial and Legal Requirements
The service provider must:
- be commercially registered in mainland Oman,
- have a minimum paid-up capital of OMR 60,000 (approximately EUR 135,340),
- have at least one year of operations for Riyada card holders, or two years for other entities;
- have a clean legal standing with no history of bankruptcy, insolvency, or criminal proceedings, and must not be subject to any tax debt collection.
Technical and Security Requirements
Service providers are required to demonstrate robust technical capabilities to ensure data integrity and security, including:
- ISO/IEC 27001 certification,
- comprehensive system architecture documentation,
- implementation of multifactor authentication and advanced encryption protocols,
- established incident response planning, data backup policies, and proof of regular security monitoring.
Technical Preparations and Consultations
In preparation for the 2026 pilot, the OTA has conducted initial public consultations with selected taxpayers regarding the upcoming e-invoicing mandate. Additionally, a draft data dictionary has been shared with affected businesses to gather feedback on the proposed data requirements. More consultations and announcements are anticipated before the system launches.
Businesses operating in Oman are advised to review these new criteria and monitor upcoming announcements as the OTA finalizes the technical specifications.
There’s more you should know about global e-invoicing changes – learn more about the new and upcoming regulations.
