Registered persons must now issue invoices for taxable and exempt supplies, including advance receipts, under the amended Sales Tax Act. ISLAMABAD: The Federal Board of Revenue (FBR) has made it mandatory for registered sales tax persons to issue invoices for both taxable and exempt supplies, as part of its ongoing drive to digitalise Pakistan’s sales tax system. The FBR issued Circular No. 1 of 2026, explaining major amendments to the Sales Tax Act, 1990 introduced through the Finance Act, 2026. According to the circular, under the existing sub-section (1) of section 23 of the Sales Tax Act, 1990, a registered person was previously required to issue a sales tax invoice only for taxable supplies. The provision has now been amended to require registered persons to issue invoices for both taxable and exempt supplies. The requirement also applies to invoices issued against advance receipts. FBR invoice number required The invoices must carry a verifiable and unique FBR invoice number, enabling the tax authority to digitally track and verify transactions. The introduction of a unique invoice number is expected to give the FBR greater visibility over commercial transactions and strengthen its ability to verify information submitted by registered persons. The measure forms part of the Board’s wider digitalisation of sales tax administration and its efforts to improve transparency in the declaration of business activities. Exempt supplies…