Pakistan: FBR extends e-invoicing to federal excise and Islamabad services tax, and sets rules to seal premises of businesses that fail to integrate

Pakistan: FBR extends e-invoicing to federal excise and Islamabad services tax, and sets rules to seal premises of businesses that fail to integrate

2 October 2026 — Pakistan's Federal Board of Revenue (FBR) issued two orders on 29 September 2026 that amend the Sales Tax Rules 2006. Together they widen who must issue invoices through FBR's systems and give FBR stronger tools against businesses that have not connected their systems. Neither states a separate start date, and some sector start dates will come by later notification.

Not yet independently verified. This rests on the FBR’s own orders, read from scanned PDFs whose text contains recognition errors; no independent report was found. Neither order states a start date. We will update this when it can be confirmed, and remove this note.

SRO 1666: e-invoicing for federal excise and Islamabad services tax

• Who: persons who must issue electronic invoices or integrate with FBR under the Federal Excise Act 2005, and providers of services taxed under the Islamabad Capital Territory (Tax on Services) Ordinance 2001. They now fall under the same rules as sales tax for integration, invoice generation, transmission, validation, storage and verification, including licensed integrators and offline invoicing.
• No second integration: a person already integrated for sales tax does not integrate again.
• New invoice fields where federal excise applies: type of duty, rate, price per unit, the duty payable outside sales-tax mode, and the SRO or schedule reference. One invoice may show sales tax, excise duty and services tax separately.
• Debit notes, credit notes and advance-receipt invoices must also be electronic, and records kept for six years.
• Unreported sales: if an integrated person sells without an FBR-numbered invoice, or leaves an issued invoice out of the return, the tax officer computes and recovers the tax or duty, besides penal action.
• Integrators: an existing integrator licence now also covers excise and services-tax integration.

SRO 1662: sealing, production monitoring and seizure

• Sealing: premises of businesses (other than Tier-1 retailers) that must integrate for monitoring of sales, production or stock but fail to can be sealed, wholly or by production line, on a Chief Commissioner's written order served beforehand. The Commissioner must first check whether the failure was caused by FBR's system, the authorised vendor, or a power or telecom outage. Premises stay sealed until the penalty is paid and the system is integrated in the presence of an FBR team.
• Production monitoring now covers video surveillance, video analytics and "digital eye" systems, bought only from vendors the Board approves, with start dates notified by sector.
• Seizure: unmonitored or unstamped goods and the vehicle carrying them can be seized; a show-cause notice within seven days, at least fourteen days to reply, a decision within thirty days, and a redemption fine of at least 20% of the retail price.

What to do

• Manufacturers and service providers paying excise or Islamabad services tax: confirm with your integrator that invoices carry the new excise fields and that credit and debit notes go through FBR.
• ERP, POS and invoicing vendors and licensed integrators: update invoice payloads and field mappings.
• Manufacturers of specified goods: check integration status now; sealing can stop a production line.

Sources

• FBR: SRO 1666(I)/2026, amendments to the Sales Tax Rules 2006 (electronic invoicing for federal excise and ICT services tax) — 29 September 2026
• FBR: SRO 1662(I)/2026, amendments to the Sales Tax Rules 2006 (sealing, production monitoring, seizure) — 29 September 2026