Importers Manufacturers and Wholesalers FBR Authorizes Electronic Invoice Integration with Its Digital Platform

ISLAMABAD: The Federal Board of Revenue (FBR) has announced that effective from February 1, 2024, importers, manufacturers, wholesalers, dealers, and distributors dealing with fast-moving consumer goods (FMCG) are required to electronically transmit sales tax invoices. This move comes as part of the FBR’s efforts to integrate electronic invoicing systems directly with its digital platform, bypassing the need for licensed integrators, as per their recent clarification.

This initiative is aimed at providing relief and addressing challenges faced by registered entities under S.R.O.28 of Sales Tax. These entities are now mandated to link their e-invoicing systems with the FBR’s existing digital invoicing system, as per instructions available on the FBR’s website.

Furthermore, the FBR’s recent directive under Notification No. 1525(1)/2023, as part of rule 150Q and Chapter XIV of the Sales Tax Rules 2006, specifically targets all parties involved in the import, manufacture, wholesale, and distribution of FMCG. This includes wholesalers and retailer-wholesalers involved in bulk import and supply of FMCG on a wholesale level.

Registered entities that find themselves unable to comply within the stipulated time can apply for an extension by presenting a valid reason to the Commissioner Inland Revenue in their jurisdiction. The FBR defines FMCG for this context as consumer goods that are regularly supplied in retail markets to meet daily consumer demands, excluding durable goods