FBR Announces New Deadline for E-Invoicing Integration
The Federal Board of Revenue (FBR) has announced a new deadline for e-invoicing integration. This move is part of the government’s efforts to improve tax compliance and digitise the economy.
According to a new notification (S.R.O. 709 (I)/2025) issued on April 23, 2025, all corporate entities must complete the integration by May 1, 2025. This includes linking their hardware and software to the FBR’s customs system. The purpose is to generate and send electronic invoices in real-time.
Non-corporate registered businesses have also been given a deadline. They must complete the integration process by June 1, 2025.
FBR Announces New Deadline for E-Invoicing Integration
This step will impact many sectors. It includes importers, manufacturers, distributors, dealers, and wholesalers of fast-moving consumer goods (FMCGs). These businesses are now required to connect their electronic invoicing systems with the FBR’s digital invoicing platform.
To make this process easier, the FBR has taken several steps. First of all, businesses can connect to the system through licensed integrators or through Pakistan Revenue Automation Limited (PRAL). Once connected, the companies will be able to send digital invoices directly to the FBR.
The idea behind this initiative is to make business transactions more transparent. By using electronic invoicing, the FBR will be able to track sales, collect taxes more effectively, and reduce tax evasion.
This is not the first time the FBR has talked about e-invoicing. Earlier, on February 1, 2024, it had already made it mandatory for certain businesses. These included importers and manufacturers of FMCGs. It also applied to all wholesalers, dealers, and distributors who deal in large quantities of fast-moving consumer goods. Wholesaler-cum-retailers involved in bulk imports and wholesale supplies were also included.
Under rule 150Q of the Sales Tax Rules 2006, these businesses had to start issuing electronic sales tax invoices. This was part of a notification (No. 1525(I)/2023) issued in 2023 to ensure that all large-scale sellers and suppliers are part of the digital tax system.
See Also: Is FBR’s E-Invoicing System a Privacy Nightmare for Businesses?
The FBR is also working on making the system more flexible. It plans to issue two more licenses to private companies. These new license holders will help other businesses integrate with the e-invoicing system. This will offer more options and make it easier for businesses to comply.
In the long run, this move will bring many benefits. It will reduce manual paperwork, speed up customs clearance, and improve record-keeping for businesses. It will also help the government monitor business activity and improve tax collection.
The FBR is urging all businesses to act quickly. Companies that do not comply with the given deadlines may face penalties or restrictions. Businesses should begin preparations now to ensure a smooth transition.
No doubt, it will create a more organised and digital business environment, making it easier for companies to manage their taxes and financial records.
