The clearance model, explained.
In a clearance model, the tax authority sits in the middle of the exchange. It checks each invoice and approves it before the buyer receives it. Saudi Arabia runs this model today, and other countries may adopt it.
Who does what.
Step 1 — Supplier
The business issuing the invoice, usually from its ERP or accounting system.
Step 2 — Service provider
The provider that formats and validates the invoice and submits it to the tax authority's platform. This is the role Navelin Tech helps you take on.
Step 3 — Tax authority
Checks the invoice and returns it cleared, or rejects it. In Saudi Arabia, ZATCA's FATOORA platform does this for B2B and B2G tax invoices.
Step 4 — Buyer
Receives the cleared invoice and books it. An invoice that has not been cleared is not valid to send.
In Saudi Arabia, simplified invoices do not need clearance first: they are issued at the point of sale and reported to ZATCA within 24 hours.
Five corners versus clearance.
| Five-corner model | Clearance model | |
|---|---|---|
| Invoice exchange | Between service providers over Peppol | Through the tax authority's platform first |
| Tax authority role | Receives invoice data from the providers | Approves each invoice before the buyer gets it |
| Timing | Invoice data is reported in near real time | Clearance happens before delivery |
| Provider requirements | Peppol certification plus national accreditation and reporting | Integration with the authority's platform and its onboarding checks |
Requirements vary by country. Check the official specifications for each mandate.
What it means if you want to serve a clearance market.
The authority's platform becomes a live dependency in every invoice. You need a conformant integration, clear handling of rejections and downtime, local data handling and a security programme a regulator will accept.
- Invoices formatted and validated to the authority's specification
- Onboarding, device credentials and submission to the authority's platform
- Rejections and retries handled before the invoice reaches the buyer
- An information security programme backed by independent audit
Ready to launch as an AI-powered e-invoicing provider?
Tell us which countries you are targeting. We will walk you through the platform, the AI capabilities, the accreditation path and a quote for your volumes.