In brief
Requires traders to keep regular commercial books in Arabic showing their financial position, at least the general journal, the inventory book and the general ledger, and penalises breaches.
Summary of the law
Key points
- Traders must keep at least the general journal, the inventory book and the general ledger; those with capital of SAR 100,000 or less are exempt (Article 1).
- All financial operations and personal drawings are entered day by day (Article 3), and entries are presumed made with the trader's knowledge unless proven otherwise (Article 9).
Penalties
- Any breach of the law or its regulations: SAR 5,000–50,000 (Article 12).
A plain-language summary prepared by Al-Bayan Al-Wadih Law Firm, focused on the violations and problems that come up most in daily life. It is not a substitute for the official text or for legal advice.
What it covers
- Mandatory books
- Day-by-day entries
- Evidential value of entries
- Fines
Timeline
- Issued: Royal Decree M/61 · 17/12/1409H
Full record of amendments and regulations at the official source
Official text at the Bureau of Experts
The authoritative text is in Arabic; the Bureau of Experts publishes English translations for some laws.
Full official text
The full official text is in Arabic and is reproduced on the Arabic version of this page, as published by the Bureau of Experts at the Council of Ministers. Read the full Arabic text
Library content is simplified general information for awareness only. It is not legal advice and does not replace the official text. Laws change: always check the official source and consult a lawyer before acting. Library data last reviewed: .