The Federal Board of Revenue (FBR) of Pakistan has issued a new notification, dated 1 August 2025, that supersedes previous notifications and establishes a detailed phased implementation schedule for the country’s mandatory e-invoicing system. This latest notification represents a significant shift in approach as the FBR moves away from the previous corporate/non-corporate distinction to a more nuanced classification based primarily on sectors, transactions and turnover.
New Implementation Timeline
The FBR has established a three-stage process for each category of taxpayers, with specific dates for:
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Registration with the system
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Testing period
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Mandatory issuance of electronic invoices
The implementation schedule varies by business category:
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Public companies, large businesses, and all importers: Must register by August 10, complete testing by August 25, and begin mandatory e-invoice issuance by September 1, 2025
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Medium-sized companies (turnover between 100 million and 1 billion rupees): Must register by September 10, test by September 30, and go live by October 1, 2025
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Individuals and association of persons with turnover exceeding 100 million rupees: Must register by September 10, test by September 30, and go live by October 1, 2025
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Smaller companies (turnover below 100 million rupees): Have until October 10 for registration, October 30 for testing, and November 1 for full implementation
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All remaining registered persons: Must register by November 10, complete testing by November 30, and begin mandatory e-invoice issuance by December 1, 2025
Integration Requirements
All sales tax registered persons specified in the notification must integrate their hardware and software with the FBR’s computerized system through either a licensed integrator or Pakistan Revenue Automation Limited (PRAL). The new directive supersedes the previous notification S.R.O. 709(I)/2025 dated 22 April 2025.
Next Steps for Taxpayers
Businesses should determine which category they fall into and prepare for their specific deadlines. Companies should contact a licensed integrator or PRAL soon to begin the integration process and ensure they have adequate time for testing before their mandatory implementation date.
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