Procedures of the Zakat and Tax Committees for notification and response
The General Secretariat of the Zakat, Tax, and Customs Committees in the Kingdom of Saudi Arabia has revealed new details and procedures related to notification mechanisms and the exchange of memoranda between parties to a lawsuit. The Secretariat clarified the approved notification mechanisms and the established deadlines for responses, in addition to the legal procedures to be followed if the defendant cannot be notified. This reflects the system's commitment to expediting litigation and safeguarding the rights of all parties.
The development of the legislative framework for the work of Zakat and tax committees
These regulatory steps are an extension of the historical development witnessed by the judicial and legislative environment in the Kingdom of Saudi Arabia, particularly concerning the financial and economic sectors. Since the establishment of the Zakat and Tax Committees, the relevant authorities have sought to modernize their regulations to keep pace with rapid technological advancements. In the past, paper-based procedures and traditional notifications were time-consuming, leading to delays in resolving disputes. With the launch of Saudi Vision 2030, the urgent need to digitize judicial and quasi-judicial procedures became apparent. This was effectively translated into action through the integration of the committees and the unification of their oversight into the current General Secretariat, which relies primarily on digital transformation to streamline the client experience and ensure the accuracy of procedures.
Modern reporting mechanisms and approved methods
The Secretariat clarified that notification is considered legally and officially valid when delivered via the contact information registered by the plaintiff. These modern methods include text messages sent to the verified mobile number, emails sent via registered email addresses, or recorded phone calls. Notifications sent to the national address, the address registered in the commercial register of establishments, and accounts registered in government electronic systems are also valid. The Secretariat emphasized that this notification can be carried out at any time without specific time restrictions, thus expediting procedures. The Secretariat also has the right to utilize the private sector or relevant authorities to notify parties to the case, particularly in situations requiring additional means to ensure delivery of notifications.
Deadline for response and absentee proceedings
Regarding the rights of the defendant, the Secretariat clarified that he is obligated to submit a response to the lawsuit filed against him within a maximum period of 30 days from the date of official notification. This period may be extended for a similar period upon a reasoned request. If the period expires without a response being submitted, the lawsuit is referred directly to the competent court for consideration. The plaintiff has the right to review the defendant's response and comment on it within 10 days from the date of notification. If notification is not possible through all the aforementioned means, an official notice will be published in the Official Gazette or a local newspaper, in preparation for completing the procedures and issuing a default judgment against the defendant.
The economic and legal impact of expediting litigation procedures
This procedural update is of paramount importance and will have a wide-ranging positive impact at both the local and regional levels. Locally, expediting dispute resolution enhances investor and business confidence in the Saudi investment environment, ensuring they have access to a specialized and efficient judiciary that protects their financial and commercial rights without delay. Regionally and internationally, the Kingdom's commitment to implementing global best practices in judicial transparency and digitalization improves its ranking in ease of doing business indices. The clarity of procedures in public rights cases and the meticulous documentation of all session details reflect a firm commitment to achieving swift justice, which supports the stability of the national economy and attracts further investment.
