The ZATCA Portal: The Only Way to File RETT
There is no paper filing system for RETT. No forms to post, no stamps to obtain manually, no queues at a government office. The entire RETT compliance process in Saudi Arabia runs through ZATCA’s electronic portal at zatca.gov.sa — and it runs there exclusively.
Under Article 11(a) of the Implementing Regulations, the transferor (or their representative) must register every real estate transaction — whether taxable or exempt — through the portal. This is a mandatory requirement. The act of registration constitutes an acknowledgment by the transferor of the accuracy of the information provided.
The portal is designed to be the gatekeeper for the entire RETT process: the transaction goes in, the system calculates the RETT due, generates a payment invoice, and once payment is confirmed, issues the clearance that the Notary Public needs before completing the title transfer. Without this clearance, the deed cannot be registered.
Step-by-Step: The RETT Filing and Payment Process
The transferor (seller or their authorised representative) logs into ZATCA’s portal. The portal requires identity verification. Corporate transferors use their commercial registration credentials; individuals use their national ID or resident ID number.
The transferor enters the transaction details. The registration form captures: identity details of the transferor and transferee; the deed, contract, or registration reference number; a description of the property (location, type, condition); whether the transaction is taxable or exempt; and the agreed transaction value (Article 11(a)(1)).
If the transaction is exempt from RETT, the transferor identifies the applicable exemption basis at the registration stage. ZATCA will then issue an exemption confirmation notice rather than a payment invoice. Note: exempt transactions must still be registered — the obligation does not disappear because no tax is due.
For taxable transactions, the portal automatically calculates the RETT at 5% of the declared transaction value and generates a payment invoice bearing a unique transaction reference number. This invoice is the document that must be settled before notarization can proceed.
Payment is made via bank transfer to ZATCA’s designated bank account, using the unique transaction reference number. Once payment is received and confirmed, ZATCA issues a registration confirmation notice.
The RETT payment confirmation notice (or exemption confirmation for exempt transactions) must be presented to the Notary Public or Accredited Notary. The notary will not proceed with the title deed registration without it. This is the enforcement mechanism that ensures RETT compliance on notarized transactions.
Under Article 11(a)(2), the transaction must be registered with ZATCA on or before the date of the transaction disposal. For standard sales, this means before notarization. For share transfers in real estate companies, registration must be completed by the tax payment due date (within 30 days of the trigger event).
Practically speaking, most parties register and generate the payment invoice immediately before their notary appointment — which is generally fine for standard notarized sales, as long as the RETT due date has not been triggered earlier by an unconditional agreement. See Article 1.4 of this series for the due date rules.
The First Home Exemption: A Different Workflow
Saudi nationals purchasing their first home may be entitled to a government-funded RETT relief under the First Home programme. The mechanics work differently from a straightforward RETT filing:
- The buyer (not the seller) initiates the process by obtaining a “First Home” certificate from the Ministry of Housing’s portal (wafi.housing.gov.sa), confirming eligibility for the government subsidy
- The buyer presents the First Home certificate to the seller (transferor) prior to the RETT registration step
- The seller incorporates the First Home certificate reference into the ZATCA portal registration
- ZATCA processes the subsidy — the government effectively bears the RETT up to the applicable first home ceiling (SAR 1,000,000 from the original 2020 introduction), with any excess RETT on values above that ceiling borne by the seller in the normal way
The seller’s responsibility here is to ensure the buyer’s First Home certificate is valid and to process it correctly through the ZATCA portal. If a First Home certificate is fraudulently claimed or incorrectly applied, the RETT liability defaults to the transferor.
The First Home exemption has specific conditions: the buyer must be a Saudi national, this must be their first home purchase, the property must be residential and intended for personal use, and the price must not exceed the applicable ceiling. Sellers should not assume the exemption applies without verifying the buyer’s certificate. The eligibility conditions and ceiling amounts should be confirmed against current Ministry of Housing guidance — they can change.
Correcting Registered Data: The Correction Request Process
Errors happen. The Regulations provide a correction mechanism. Under Article 11(b), the transferor can submit a Correction Request through the ZATCA portal if the registered transaction data is incorrect. The rules:
- The correction request must be submitted within 30 days from the time the transferor becomes aware the registered data is incorrect, or upon the occurrence of any event that leads to a breach of exemption conditions
- If the correction results in additional RETT being due, that amount must be paid by the applicable payment deadline
- If the correction results in a reduction in RETT due, a refund can be claimed (subject to the refund process under Article 9 of the Regulations)
- When submitting a correction, the transferor is notified that ZATCA retains the right to re-evaluate the property
This correction mechanism is relevant not only for genuine errors but also for transactions where exemption conditions are later breached. For example, if a property was transferred using the group restructuring exemption and the required five-year holding period is subsequently violated, the transferor must submit a correction request and pay the RETT within 30 days of the breach.
Record-Keeping: What Must Be Retained and for How Long
RETT compliance does not end at payment. Article 11(f) of the Regulations specifies the documents that must be kept and the retention periods:
| Document Category | Who Must Retain | Retention Period |
|---|---|---|
| Authentication documents, title deeds, informal transaction documents | Transferor and Transferee | 5 years from transaction date |
| Payment records related to the transaction | Transferor and Transferee | 5 years from transaction date |
| Documents proving the transaction value and RETT due | Transferor and Transferee | 5 years from transaction date |
| Documents proving compliance with exemption conditions | Transferor and Transferee | 5 years from transaction date (or longer if an exemption condition period extends beyond 5 years) |
| Commercial books related to real estate transactions | Entities required to maintain commercial books | 5 years from transaction date |
Records may be maintained in physical form or electronically — provided they are stored within the Kingdom (or accessible remotely with appropriate controls) and are protected against tampering. If ZATCA conducts an examination within the three-year assessment window, it can demand any of these records within the examination process.
For transactions that rely on continuing conditions (five-year holding periods for restructuring exemptions, three-year restriction for gifts), exemption compliance documentation must be available throughout the condition period and for five years beyond. This means records for a transaction exempted under the merger provisions in Year 1 must be retained through to at least Year 10 (five-year condition period plus five years). Build this into your document retention policy.
Non-Notarized Transactions: Filing Without the Notary Backstop
For transactions that do not go through the Notary Public — principally share transfers in real estate companies, usufruct right grants, and BOOT project completions — there is no built-in enforcement mechanism to guarantee RETT compliance. The parties must proactively manage the 30-day payment window.
The filing process is the same (ZATCA portal registration and payment), but the sequencing is driven by the applicable due date under Article 4 of the Regulations, not by a notary appointment. Key points for non-notarized transactions:
- For share transfers in real estate companies: registration must be submitted by the payment due date (within 30 days of the trigger). Registration for publicly offered securities and listed securities trading is not required (Article 11(a)(6)).
- For usufruct rights exceeding 50 years: RETT registration and payment must be completed within 30 days of the date the right is granted
- For BOOT completions: within 30 days of the actual transfer date
Missing these deadlines triggers late payment fines under the RETT penalty framework — and without the notary as a procedural gatekeeper, it is easy for these deadlines to be overlooked, particularly in complex M&A transactions where real estate issues are one element of a larger deal.
Frequently Asked Questions
- All RETT is filed and paid through ZATCA’s electronic portal (zatca.gov.sa). There is no paper filing system.
- Every real estate transaction — taxable or exempt — must be registered. ZATCA issues a payment confirmation (taxable) or exemption confirmation (exempt) notice.
- For standard notarized sales, the payment confirmation must be presented to the Notary Public. No confirmation, no title transfer.
- The registration act constitutes the transferor’s acknowledgment of the accuracy of the information provided. Accuracy at filing is essential.
- Errors can be corrected via a Correction Request within 30 days of becoming aware of the mistake. Additional RETT becomes due immediately; overpayments are refundable.
- The First Home exemption involves a buyer-initiated certificate from the Ministry of Housing portal — the seller processes it through the ZATCA registration, not independently.
- All transaction documents, payment records, and exemption evidence must be retained for five years from the transaction date — longer for transactions with continuing exemption conditions.
- For non-notarized transactions, the 30-day proactive payment window must be managed without the notary backstop. This is a recurring compliance risk in corporate and M&A real estate transactions.
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This article reflects the RETT Law (Royal Decree M/84, effective 10 April 2025) and the RETT Implementing Regulations (ZATCA Board Resolution 01-03-25, 24 March 2025). It is for informational purposes only and does not constitute legal or tax advice. Readers should confirm current portal procedures at zatca.gov.sa and seek advice from a qualified Saudi tax advisor for specific transactions. dariba.co is an independent platform with no consulting relationships.