Strategic Backlog Accounting Services in Saudi Arabia

Ignoring your accounting in Saudi Arabia can cause big trouble fast. It can lead to VAT fines, Zakat mistakes, wrong tax filings, audit issues, delayed bank approvals, and even blocked services from ZATCA. Many small and medium-sized businesses lose control because their records are not updated on time. After a few months, the numbers stop making sense. After a year, the backlog turns into a major risk.

Our backlog accounting services solve this problem. They bring every missing month and year back into order, correct entries, align your data with Saudi laws, and create clean books that banks, investors, and ZATCA accept.

Why Backlog Accounting Matters in Saudi Arabia?

Backlog accounting means fixing the months and years where accounting work was not done. It covers old invoices, past bank statements, missing VAT returns, outdated payroll records, unposted expenses, WIP balances, and much more. This is very important in Saudi Arabia because:

• VAT Law (15%) requires correct invoices, accurate dates, and full reporting.
• Zakat and Corporate Tax Laws require proper adjustments, correct liabilities, and verified equity.
• SOCPA and IFRS require accurate ledgers and clean financial statements.
• ZATCA E-Invoicing (FATOORA) requires digital compliance, such as QR codes and structured XML.
• Banks need clean, reconciled statements and full financial reports.
• Auditors require supported balances and correct documentation.

If a business does not fix its backlogs, it can face fines, incorrect tax payments, money confusion, failed audits, and planning issues.

Common Reasons for Backlogs

Backlogs happen for many reasons:

• Expanding into new regions
• Shortage of accounting staff
• High volume of orders
• Missing documents
• Manual accounting
• Wrong system setup
• Sudden sales growth

No matter the reason, backlogs must be fixed before ZATCA checks your records.  Our backlog accounting services Saudi Arabia make it fast, easy, and worry-free!

Types of Backlog Accounting Services

Every business deals with backlogs in its own way. Some struggle with unpaid bills. Others have unrecorded sales or unfinished work. Because every business has different backlog needs, we handle all major categories:

Sales Backlog Accounting

This covers sales orders that were received but not yet delivered. Tracking these orders helps a business plan its work, manage stock, and use resources properly.

Purchase Backlog Accounting

This includes purchase orders that were made but are still pending. It helps a business keep an eye on expenses, control money going out, and make sure supplies arrive on time.

Work-in-Progress (WIP) Backlog Accounting

This deals with tasks or projects that have started but are not finished. It helps businesses see how far work has gone, manage teams, and stay on schedule.

Accounts Receivable (AR) Backlog Accounting

This covers customer invoices that are still unpaid. It helps a business understand how much money it is waiting for and when payments should come in.

Accounts Payable (AP) Backlog Accounting

This includes bills that a business has not paid yet. It helps track expenses and avoid late payments.

Eighty20 Business and Financial Solutions provides all these backlog accounting services. Our skilled accountants update your records and clear your backlogs in an organized and timely way.

Our Backlog Accounting Cleanup KSA Process: A Complete Recovery Workflow

Below is the full step-by-step process of our integrated backlog accounting services: 

Scope & Quick Check (Free of Cost)

We begin with a simple, free review. You share a few sample records and tell us how many months or years your books are behind. We look at these files and then explain the expected size of the backlog, the type of work needed, and any possible legal risks, such as VAT mistakes, Zakat calculation gaps, or issues that may cause problems during an audit. This quick check helps you understand exactly what needs to be fixed before we start.

Data Collection

Once the scope is clear, we gather all your financial documents. This includes bank statements, invoices, receipts, payroll files, supplier contracts, and any previous VAT or Zakat returns. You can give them to us in any form; PDFs, Excel files, scanned papers, or direct access to your accounting software. Our goal is to make this step easy and stress-free for you.

Data Reconstruction

After collecting your records, we begin rebuilding your books from the ground up. We recreate your ledgers and journal entries using bank statements and source documents. If certain documents are missing, we prepare replacement invoices or receipt notes where allowed under Saudi regulations. This step ensures your books have a complete and accurate history.

Reconciliations & Adjustments

Next, we perform full reconciliations to make sure everything matches. We reconcile bank accounts, customer balances (AR), supplier balances (AP), and payroll entries. Our accounting reconciliation service also posts important accounting adjustments such as accruals, prepayments, depreciation, and provisions. This makes your books accurate and compliant with standard accounting rules.

Tax & Zakat Review

Once your records are rebuilt, we review your tax position. We check VAT for each period, identify missed or incorrect returns, and prepare a list of corrections. Our financial records cleanup Saudi Arabia service also reviews your Zakat base and your corporate tax status to make sure everything aligns with ZATCA rules. This step protects you from penalties and helps ensure your filings are accurate going forward.

E-Invoicing Mapping

In this stage, we review your invoices and match them with ZATCA’s e-invoicing requirements. We check invoice fields, formats, and data points to ensure they follow FATOORA guidelines. Even if the invoices are old, the records must still meet ZATCA’s standards for archiving, and we make sure everything is in the right format.

Financial Statement Preparation

After the reconciliations and tax checks, we prepare your financial statements in line with IFRS as adopted by SOCPA. This includes the trial balance, profit and loss statement, balance sheet, and cash flow statement. These statements give you and any auditor, bank, or investor a complete and reliable picture of your financial position.

Filing & Remediation

If any errors are found, we help fix them by preparing VAT amendments or voluntary disclosures. We also prepare detailed schedules and working papers for auditors, lenders, or compliance checks. This step ensures your backlog is not only cleaned but also filed correctly with ZATCA if required.

Training & Control Fixes

To make sure you never fall behind again, we train your staff on basic record-keeping, document retention rules, invoicing requirements, and e-invoicing compliance. We also give you simple internal control fixes so your books stay organized and compliant in the future.

Handover & Ongoing Support

At the end of the project, we hand over clean, updated ledgers and a one-page internal control checklist. You also get the option to continue with monthly or quarterly bookkeeping so your accounts stay current and never build up backlog again.

Documents We Need from You

• Bank statements (all accounts) for the backlog period.
• Sales invoices and credit notes.
• Purchase invoices and supplier statements.
• Payroll records and staff contracts.
• Fixed asset register (if any) or purchase receipts.
• Previous VAT returns and tax filings.
• Contracts with customers or suppliers.
• Any e-invoicing files or software extracts.