Oman Moves Toward e-Invoicing that could start in 2026
On May 12, 2025, the Oman Tax Authority (OTA) signed an agreement with Omantel, the country’s leading telecommunications provider, to develop and implement the national e-invoicing system, marking a decisive step toward the country's tax modernization.
Oman is planning a phased rollout of mandatory e-Invoicing that could begin in 2026 and extend through 2028.
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 planned for 2026.
Implementation Timeline
The OTA has established a progressive rollout, yet to be officially confirmed, that will extend from Q3 2026 to Q1 2028:
- Q3 2026: Mandatory e-Invoicing implementation for the 100 largest taxpayers (LTPs); voluntary for all others.
- Q1 2027: Mandatory e-Invoicing for all large taxpayers; voluntary for remaining taxpayers.
- Q3 2027: Mandatory e-Invoicing for all companies in B2B, B2G, and B2C transactions.
- Q1 2028: Mandatory e-Invoicing for all G2B transactions.
This gradual approach is designed to ensure a smooth transition and allow companies sufficient time to adapt to the new system.
Oman's e-Invoicing Model
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.
Despite having defined this model as the conceptual framework, the Oman Tax Authority (OTA) has not yet released official technical specifications or integration requirements for taxpayers or service providers. 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. Companies interested in early-stage adoption should keep an eye out for upcoming publications and pilot opportunities to be announced in the near future.
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.
