FBR Mandates Digital Invoicing for Taxpayers

The Federal Board of Revenue (FBR) has rolled out a compulsory digital invoicing system for all sales tax-registered taxpayers, with a primary focus on seamless integration for corporate businesses.

Per a news report, this digital invoicing initiative is designed to eradicate fake or unverifiable invoices, streamline tax return filing, and bolster transparency within Pakistan’s documented economy.

The FBR stated that taxpayers can link their invoicing systems with licensed integrators such as Pakistan Revenue Automation Limited (PRAL), Haball, WebDNAWorks, and EY at no cost. Post-integration, digital invoices are automatically generated within the taxpayer’s system, minimizing manual effort and ensuring accuracy.

Each approved invoice features a QR code and a unique invoice number, accessible to both suppliers and buyers via the digital portal. This ensures secure reporting and allows buyers to view invoices and effortlessly claim input tax.

Additionally, the FBR unveiled a Business Intelligence Dashboard, providing taxpayers with real-time and historical insights into invoice volume, type, and value. Businesses can now auto-populate and load approved invoices for the tax period with a single click, simplifying compliance.

To guide taxpayers through the transition, the FBR has crafted a detailed presentation explaining the digital invoicing process, offering step-by-step instructions and highlighting the benefits of integration with the FBR for maximum efficiency.