If you are a GST-registered business in Pakistan, every invoice you issue must include your NTN and STRN numbers, the tax amount separately stated, and meet FBR formatting requirements. billParchi does all of this automatically — create your first FBR invoice free →
What is FBR and why does it matter for invoicing?
The Federal Board of Revenue (FBR) is Pakistan's tax authority. It administers income tax, sales tax (GST), and customs duties. If your business is registered for Sales Tax under the Sales Tax Act 1990, you are legally required to issue tax invoices that meet FBR standards whenever you make a taxable supply.
Failing to issue proper FBR-compliant invoices can result in tax penalties, rejected input tax claims by your clients, and audit issues. Getting your invoicing right from the start saves significant trouble later.
What is NTN and STRN?
NTN — National Tax Number
Your NTN is a unique 7-digit number assigned by FBR when you register for income tax in Pakistan. Every individual taxpayer and business registered with FBR has an NTN. It must appear on your invoices.
Format: 1234567-8 (7 digits followed by a check digit)
STRN — Sales Tax Registration Number
Your STRN (also called Sales Tax Number or STN) is assigned when you register for Sales Tax (GST) with FBR. Only businesses whose annual turnover exceeds the threshold (currently PKR 10 million for traders, PKR 8 million for manufacturers) are required to register — but smaller businesses can register voluntarily.
Format: 12-34-5678901-234
If your business is NOT registered for GST/Sales Tax, you still need your NTN on invoices, but you do not charge or show Sales Tax. You should clearly state "Not Registered for GST" on the invoice.
What must a FBR-compliant invoice include?
| Field | Required? | Notes |
|---|---|---|
| Supplier's name & address | Required | Your business name and registered address |
| NTN | Required | Your 7-digit National Tax Number |
| STRN | GST-registered only | Your Sales Tax Registration Number |
| Invoice number | Required | Sequential, unique per transaction |
| Invoice date | Required | Date of supply or payment, whichever is earlier |
| Buyer's name & address | Required | Your client's details |
| Description of goods/services | Required | Clear description of what was supplied |
| Quantity & unit price | Required | Amount before tax |
| Sales Tax / GST amount | GST-registered only | Shown separately from the net amount |
| Total amount payable | Required | Including all taxes |
| Buyer's NTN/STRN | Optional | Required only for B2B transactions above PKR 50,000 |
| Logo / letterhead | Optional | Recommended for professionalism |
Current GST / Sales Tax rates in Pakistan (2025)
Pakistan's standard Sales Tax rate under the Sales Tax Act is 18% for most goods and varying rates for services depending on the province. Key rates to know:
- Standard rate: 18% on taxable goods
- Services (Federal): 16% (Islamabad Capital Territory)
- Services (Punjab): 16% under Punjab Sales Tax on Services Act
- Services (Sindh): 13–15% under Sindh Sales Tax on Services Act
- IT/Software services exported: 0% (exempt if invoiced to foreign client)
- Exempt goods: Basic food items, medicines, and certain agricultural products
If you are a Pakistani IT freelancer or agency billing clients outside Pakistan, your services are generally zero-rated for GST. You still need NTN on the invoice but do not charge GST. Use USD or the client's currency and keep foreign remittance proof for FBR records.
How to register your business with FBR
- Visit IRIS portal: Go to iris.fbr.gov.pk — FBR's online tax portal
- Register for NTN: Click "Registration" → fill in CNIC, business details, and bank information
- Receive NTN: FBR issues your NTN within 1–3 working days (often immediate)
- Register for Sales Tax (if applicable): In IRIS, apply for Sales Tax registration if your turnover exceeds the threshold
- Receive STRN: Your STRN is issued upon approval of your Sales Tax registration
Common invoicing mistakes Pakistani businesses make
- Missing NTN or STRN: Even if you are not GST-registered, NTN must appear
- Not separating tax from the net amount: FBR requires tax shown separately, not included in the price
- Non-sequential invoice numbers: Gaps in invoice numbering attract FBR attention during audits
- Wrong date: Invoice date should be the date of supply or payment — whichever is earlier
- Charging GST without STRN: You cannot legally charge Sales Tax unless you are registered
- No written record: Keep digital or physical copies of all invoices for 5 years minimum
billParchi handles all of this for you
NTN and STRN fields, GST calculation, sequential invoice numbers, and professional PDF — all free, no signup.
Create Free FBR Invoice →Frequently asked questions — FBR invoicing Pakistan
Yes. Any individual earning taxable income in Pakistan should have an NTN. Freelancers earning foreign remittance are taxable (though many exports are at reduced rates). FBR actively encourages freelancer registration and offers incentives like reduced tax rates.
For trading businesses, the threshold is PKR 10 million annual turnover. For manufacturing, PKR 8 million. Services vary by province. Below these thresholds you are not required to register — but voluntary registration is allowed.
FBR does not mandate a specific language — English or Urdu invoices are both acceptable as long as they contain all required fields. billParchi supports both English and Urdu Nastaleeq invoices.
FBR requires businesses to maintain records for at least 5 years. billParchi downloads a PDF to your device — keep these organized by date and client.