Oman e-Invoicing Requirements 2026: Timeline, Scope and Legal Framework

Electronic invoicing in Oman: Fatwara Project

Originally scheduled for 2024, Oman’s e-Invoicing project has been revived thanks to an agreement signed by the government with national telecom provider Omantel. Omantel will be responsible for the development and implementation of the national e-Invoicing system.

The new e-Invoicing platform is expected to improve the efficiency of the tax framework and increase transparency in public revenue, with a phased rollout.

The rollout will begin with an initial wave of 153 companies, which have already been identified as part of the initial implementation phase.

This mandate requires that B2B, B2G, and B2C obligations be made mandatory at the same time. The mandate also extends beyond national invoicing.

Transactions covered include:

• Export invoices
• Self-billing in import transactions

This confirms that international trade documentation will play an important role within the compliance model.

Implementation Timeline

The OTA has scheduled a progressive roll-out, from the end of 2025 to 2028. This gradual approach seeks to ensure a smooth transition and allow companies to adapt to the new system.

The key milestones are as follows:

2025

• October: Start of consultations and preliminary design of the model
• November: Publication of technical specifications
• December: Publication of standards for Service Providers (SP); start of training workshops

2026

• January: Joint design phase with the Oman Tax Authority
• February: Launch of the pilot portal for developers
• May: Registration and accreditation opens for Service Providers
• August: First wave with the 100 largest taxpaying companies; voluntary opt-in option not yet reconfirmed

2027

• January: Extension to other large B2B taxpayers
• September: Broader adoption including other groups of taxpayers

2028

• August: Extension of the mandate to Business-to-Government (B2G) transactions.

B2B electronic invoice model in Oman: Peppol 5 corners

Oman plans to adopt the Peppol five-corner model, making it one of the first Gulf Cooperation Council (GCC) countries to opt for this approach.

The Oman Tax Authority (OTA) is expected to publish the official technical specifications and integration requirements for taxpayers or providers soon. However, the guidelines are expected to include the use of international standards such as UBL (Universal Business Language), Peppol BIS interoperability profiles, and mechanisms for authentication and tax validation.

Oman's decision to adopt a Peppol-based framework highlights a broader trend in the Gulf region toward digital tax modernization. Once implemented, the mandate is expected to improve tax transparency, reduce fraud, and streamline B2B, B2C, and B2G transactions, bringing Oman in line with international best practices.

B2C e-invoicing model in Oman

For business-to-consumer (B2C) transactions, the model will be geared more toward e-reporting than traditional e-invoicing.

Key elements include:

• Mandatory use of a QR code
• Companies will be able to submit information in batches, rather than invoice by invoice

This approach is designed to simplify the reporting of large volumes of consumer transactions while ensuring visibility for tax authorities.

VAT Introduction in Oman

Oman took a major step in its tax modernization in April 2021 with the introduction of a 5% Value Added Tax (VAT). This reform was driven by the need to diversify the country's traditionally oil-dependent revenues and align with the tax practices of the rest of the Gulf Cooperation Council (GCC) countries. The implementation of VAT required significant changes to Omani companies accounting and administrative processes, marking a turning point in their relationship with the tax authority.

Since then, the Oman Tax Authority (OTA) has focused its efforts on strengthening its technological infrastructure to improve tax compliance, increase transparency, and reduce tax evasion. The introduction of e-Invoicing represents the next logical step in this evolution: fully digitalizing the issuance and registration of invoices to streamline tax oversight and simplify compliance for both large taxpayers and small to medium-sized businesses.