Sudan's tax authority, Diwan al-Zaraib, announced that it will start implementing mandatory electronic invoicing for all transactions between the private sector and the government, effective November 17, 2026. This move is part of a broader effort to reform public finance and enhance oversight of public funds. The decision was made through a decision No. 56, issued on August 16, 2026, which was supported by the Minister of Finance.
The new system will require all private sector entities engaging with the government to register for electronic invoicing. This includes all government purchases, whether made directly or through open or limited tenders, as well as disposal of surplus. All federal and state government units will be subject to this requirement, with no exceptions. According to the General Secretary of Diwan al-Zaraib, the goal is to ensure that all transactions with the government are done through electronic invoicing.
A three-month grace period was granted to private sector entities to comply with the new system, which ended on November 16, 2026. The General Secretary emphasized that no further extensions will be granted, and entities that fail to comply will face penalties. The electronic invoicing system is designed to track value-added tax and has a minimum threshold for registration. Entities that are not required to register for value-added tax will still need to obtain a certificate from the relevant tax administration to participate in government transactions.
The system will be implemented through a network of 2000 devices that can operate offline in areas with limited internet connectivity. In areas with no internet coverage, entities will be provided with a financial processor device that can store data for up to 30 days. The device can then be taken to a tax office to upload the data. The tax authority has also developed solutions for companies that distribute goods and for mobile transactions.
The Ministry of Finance and Economic Planning is also working on an electronic government procurement system, which will require electronic invoicing as a condition for participating in government tenders. According to Yousif Farah, Director of Procurement and Contracting at the Ministry, any service provider or contractor that fails to provide an electronic invoice will be excluded from competing for government contracts.
The implementation of electronic invoicing is expected to improve the efficiency and transparency of government transactions. The tax authority has assured that the digitalization of transactions will not lead to job losses, but rather will require additional staff with specialized skills to analyze large datasets. The system is also expected to reduce conflicts between the tax authority and its partners by providing accurate and reliable information.
The electronic invoicing system is part of a broader effort to modernize Sudan's tax administration and improve the business environment. The system has been developed in consultation with the Ministry of Finance and other stakeholders, and is expected to contribute to the country's economic development. The tax authority has expressed its gratitude to the Ministry of Finance for its support in implementing the new system.
Key points
- The electronic invoicing system will be mandatory for all private sector transactions with the government, with no exceptions.
