Maroof & Saudi E-Commerce Law Master Manual 2026

Electronic commerce in the Kingdom of Saudi Arabia is governed primarily by the Saudi E-Commerce Law (Nizam Al-Tijarah Al-Iliktroniyyah - Royal Decree No. M/126) and its Executive Regulations promulgated by the Ministry of Commerce (MoC).

Enacted under the Vision 2030 National Transformation Program, the statute fundamentally transformed the digital marketplace by establishing rigid legal definitions, standardizing electronic contracting, and creating an inter-agency supervisory framework overseen by three primary government bodies:

To legally operate an online storefront, digital marketplace, or social media store in Saudi Arabia, a merchant must hold verified commercial status through one of two mutually exclusive statutory mechanisms:

Originally introduced as an independent platform, Maroof (معروف) has been integrated into the unified Saudi Business Center (SBC) Store Verification Engine (توثيق المتاجر). This digital infrastructure serves as the official trust registry validating legitimate e-commerce operators for Saudi consumers.

The Gold Verification Badge (Tawtheeq Thahabi)

To obtain the coveted Gold Verification Badge and display the official dynamic QR trust certificate, an online merchant must fulfill three non-negotiable technical requirements:

Mandatory Storefront Legal Disclosures

Under Article 5 of the E-Commerce Law, every verified storefront must visibly display the following legal data in its website footer and mobile application checkout flows:

• Commercial Registration (CR) / Freelance Document Number: Must match SBC records.
• Tax Identification Number (TIN): 15-digit ZATCA VAT registration number (if registered).
• Legal Trade Name & Physical Address: Official registered name and national address.
• Customer Service Communication Channels: Working phone number, email, and complaint portal.
• Clickable SBC Verification QR Code: Dynamic badge linking directly to the SBC trust registry.

The Saudi E-Commerce Law imposes stringent consumer protection obligations designed to maintain high trust in digital transactions. Failure to embed these statutory rules into store terms and conditions renders conflicting contractual clauses null and void by operation of law.

The 7-Day Unconditional Right of Withdrawal (Article 13)

Under Article 13, Paragraph 1, a consumer has the absolute statutory right to rescind an e-commerce purchase and return the merchandise within 7 calendar days from the date of physical receipt, without having to prove any product defect or non-conformity.

The merchant is legally obligated to execute a full cash or card refund within 14 calendar days of receiving the returned goods. The merchant cannot force the consumer to accept store credit or gift cards in lieu of their original payment method.

Statutory Legal Exceptions to the 7-Day Return Right

Under Article 13, Paragraph 2, the right of withdrawal is legally extinguished in the following specific commercial circumstances:

The 15-Day Delivery Delay Mandate (Article 14)

Timely logistics execution is an enforceable statutory duty. Under Article 14:

• If a merchant fails to deliver the purchased goods on the agreed delivery date, or within 15 calendar days from the date of contract execution if no specific date was set, the consumer acquires the immediate legal right to cancel the contract.
• Upon cancellation, the merchant must refund the full purchase price and shipping costs immediately, without imposing restocking fees or administrative deduction penalties.

Digital payments in Saudi Arabia are strictly regulated by the Saudi Central Bank (SAMA). The national payment network, Mada (مدى), represents over 80% of all electronic point-of-sale and e-commerce transactions in the Kingdom.

Mandatory Payment Infrastructure Requirements

To maintain compliant e-commerce operations, online stores must adhere to the following standards:

Digital retail operations must comply with the comprehensive tax mandates enforced by ZATCA (Zakat, Tax and Customs Authority), encompassing Value Added Tax (VAT) and the national Fatoora E-Invoicing Program.

E-Commerce VAT Thresholds

• Mandatory VAT Registration: Required if annual taxable e-commerce turnover exceeds SAR 375,000 across any 12-month rolling window.
• Voluntary Registration: Permitted once annual sales surpass SAR 187,500, enabling the store to reclaim input VAT paid on inventory, warehousing, and marketing expenses.
• Standard VAT Rate: 15% applied uniformly across consumer goods, delivery fees, and service charges.

ZATCA Phase 2 E-Invoicing at Checkout

Under the Fatoora mandate, e-commerce engines (Shopify, Salla, Zid, WooCommerce, Magento) must be integrated via REST API with the ZATCA Phase 2 clearance platform:

Cross-Border E-Commerce Customs Clearance

For international e-commerce platforms shipping goods into Saudi Arabia:

• Consignments Under SAR 1,000: Subject to 15% import VAT; exempt from standard customs tariffs if classified for personal consumer use.
• Consignments Exceeding SAR 1,000: Subject to 15% import VAT plus applicable customs duties (ranging from 5% to 20% depending on HS Code classification).
• Foreign platforms must register as non-resident taxable persons or appoint an authorized Saudi tax representative to clear import taxes smoothly.

Commercial advertising in digital commerce is heavily regulated to protect consumers from fraudulent, exaggerated, or unverified claims. Online marketing is governed jointly by the Ministry of Commerce and the General Authority of Media Regulation (GAMR).

The Mandatory Mawthoog License Mandate

Under Council of Ministers Decision No. 433, any individual (Saudi citizen, foreign resident, or visiting content creator) who publishes commercial advertisements or paid product endorsements on social media platforms (Snapchat, Instagram, TikTok, YouTube, X) must hold an official Mawthoog License (رخصة موثوق) issued by GAMR.

• Merchant Liability: An e-commerce brand that contracts with an unaccredited influencer who lacks a Mawthoog license is held jointly liable under the law.
• Statutory License Fee: SAR 14,000 for a 3-year validity license.
• Advertising Disclosure: All sponsored content must explicitly state that it is an advertisement (e.g., using the hashtag #إعلان or #Ad prominently at the beginning of the post).

Prohibited Deceptive E-Commerce Tactics

Article 10 of the E-Commerce Law strictly prohibits the following marketing manipulations:

Enforcement committees within the Ministry of Commerce possess broad administrative powers to sanction non-compliant e-commerce merchants under Article 19 of the Saudi E-Commerce Law:

When setting up or maintaining verified e-commerce platforms, merchants frequently encounter verification rejections and integration blocks. The following matrix details the top 10 technical bottlenecks and their resolution workflows: