E-invoicing extended to federal excise and Islamabad services tax: SROs 1666 and 1667 of 2026

What changed

Until now, FBR's digital invoicing rules were a sales tax matter. On 29 September 2026 FBR notified SRO 1666(I)/2026 and SRO 1667(I)/2026, which, according to published summaries of the notifications:

• apply the electronic invoicing rules in Chapter XIV of the Sales Tax Rules to federal excise duty and to Islamabad services tax;
• require debit notes, credit notes and advance receipt invoices to be issued electronically, not just ordinary tax invoices;
• treat a person who is already integrated for sales tax as integrated for excise purposes.

The summaries do not set out every commencement date or which provision sits in which SRO — read the gazetted text, or ask your adviser, for the date that applies to you.

Who is affected

Manufacturers and importers of excisable goods

Businesses dealing in goods subject to federal excise — for example beverages, cement, tobacco and other items in the First Schedule to the Federal Excise Act — now issue their excise documents under the same real-time regime as sales tax invoices.

Service providers in Islamabad

Services in the Islamabad Capital Territory are taxed federally rather than by a provincial revenue authority. STGO 05 of 2026 (18 May 2026) already required providers in specified ICT tables to issue e-invoices from 15, 20 or 25 June 2026 depending on category. The new SROs fold Islamabad services tax fully into the Chapter XIV framework.

Everyone who issues credit or debit notes

This is the change most businesses will feel. Returns, discounts after sale, price revisions and short supplies are all handled through credit and debit notes. If those must now be electronic, they must reference the original invoice's FBR number and pass FBR's validation like any invoice. Advance receipts — money taken before supply — also need an electronic advance receipt invoice.

What to do now

1. Ask your integrator whether its software issues electronic debit notes, credit notes and advance receipt invoices, and handles excise and ICT services where relevant.
2. Review your credit note process. Who raises them, when, and against which original invoice? An electronic note needs the original FBR invoice number.
3. Use the 72-hour window first. A genuine mistake corrected within 72 hours (STGO 01 of 2026) may avoid a credit note altogether.
4. Check your registrations. If you are newly in scope for excise or ICT services e-invoicing, your IRIS digital invoicing profile may need updating.

The direction of travel

Each notification in 2025–26 has widened the same net: first large companies and importers, then all sales tax registered persons, then retailers through POS, Islamabad services, excise and every adjustment document. The practical lesson is to choose invoicing that is built around FBR's rules, so each new notification is a configuration change rather than a new project. See our integrator checklist.

Frequently asked questions

Do credit notes need to be reported to FBR now?

Yes. Under SROs 1666 and 1667 of 2026, debit notes, credit notes and advance receipt invoices must be issued electronically under the Chapter XIV rules.

I'm already integrated for sales tax. Do I need to integrate again for excise?

Published summaries say a person integrated for sales tax is treated as integrated for excise. Your software still needs to support the excise and adjustment documents you issue.

Does this affect Punjab or Sindh services tax?

No — provincial sales tax on services is administered by the provincial revenue authorities (PRA, SRB, KPRA, BRA). These SROs concern federal excise and Islamabad Capital Territory services tax.

Sources and further reading

1. Faubix — FBR digital invoicing deadlines and notifications (summary of SROs 1666 & 1667 of 2026, STGO 05 of 2026)
2. FBR — SROs and notifications

This article explains rules as we understand them on the date shown. It is not tax advice. Notifications change — check the current SRO or general order, and your own position with your tax adviser.