FBR Digital Invoicing for Electrical Cable, Wire and Switchgear Traders in Pakistan (2026)
Cable, wire, breaker and switch traders: post FBR digital invoices at 18%, use HS codes 8544 and 8536, tax fans and bulbs on retail price, protect input tax.
What this page tells you
This page is for shops and traders who sell electrical cables, wires, switches, circuit breakers, panels and light fittings. It shows how to post each sale to FBR, which tax to charge, and how to stop your buyers losing their tax credit.
The key facts first. Most electrical goods carry the standard sales tax rate of 18%. A Rs 300,000 sale of copper cable to a registered contractor carries Rs 54,000 sales tax. If the buyer is not registered, further tax (an extra sales tax on sales to unregistered buyers, commonly 4%) adds about Rs 12,000 more.
SRO 1852(I)/2025 brought every sales-tax-registered person into FBR digital invoicing, with the last group due by 31 December 2025. From the 2026-27 tax year, a business that is still not integrated faces a Rs 1,000,000 penalty, then up to Rs 5,000,000 if the failure goes on for a month, and its shop can be sealed.
Who buys from you, and why the IRN matters to them
Your buyers are a mix. Electrical contractors, builders, factories and government departments are usually registered. Electricians and home owners usually are not.
A registered buyer pays you 18% sales tax and then subtracts it from the tax they owe. This is called input tax (sales tax already paid on purchases). They can only do this if your invoice was posted to FBR and came back with an IRN (Invoice Reference Number — the unique number FBR gives every invoice it accepts).
No IRN means your buyer loses the full 18%. On a Rs 300,000 cable order, that is Rs 54,000 they cannot claim. Large contractors and factories now check this before they pay. 'IRN and Input Tax Adjustment: Why Your Buyers Need FBR-Verified Invoices' explains it in more detail.
Government departments and big companies are often withholding agents (buyers who keep back part of the sales tax and pay it to FBR themselves). Fill the withheld amount on the invoice line. 'Sales Tax Withheld at Source in FBR Digital Invoicing' shows how.
HS codes, units and retail-price items
HS code (the international product number that tells FBR what you sold). Most of your stock sits in Chapter 85 of the tariff. Insulated cables and wires are under heading 8544. Switches, sockets, plugs and circuit breakers are under 8536. Distribution boards and control panels are under 8537. Transformers and UPS units are under 8504. Use the exact 8-digit code for each product. 'HS Codes in FBR Digital Invoicing: A Practical Guide' shows how to find it.
Unit of measure. Cable is sold by metre or by coil. Switches and breakers are sold by number of pieces. Pick the unit FBR expects for that HS code, or the invoice can be rejected. See 'UoM in FBR Digital Invoicing: Picking the Right Unit of Measurement (2026)'.
Retail-price items. Some household electrical goods, such as electric fans, bulbs and tube-lights, are listed in the Third Schedule (FBR's list of goods taxed on the printed retail price, not on your selling price). For these, enter the retail price on the invoice so the tax is worked out correctly. 'FBR STGO 08 of 2026: Printed Retail Price and Sales Tax on 56 Third Schedule Items — What Makers, Importers and Shops Must Do' explains this.
Buyer type. Mark each buyer as Registered or Unregistered. FBR checks this against the buyer's real profile. For an unregistered buyer, add their 13-digit CNIC and further tax. 'Registered vs Unregistered Buyers on FBR Invoices: Registration Type, Further Tax and ATL Checks' covers the rules.
Returns, rate changes and getting started
Returned goods. Do not delete the old invoice. Within 72 hours you can cancel or edit it on IRIS (FBR's online tax portal), as STGO 01 of 2026 allows. After that, issue a credit note against the original invoice within 180 days. 'Debit Notes and Credit Notes in FBR Digital Invoicing' shows the steps.
Copper price changes. Cable prices move with copper. If you agree a new price after the sale, issue a debit note for an increase or a credit note for a cut. Both must point to the original IRN.
Counter sales. Walk-in electricians often buy small items many times a day. Each sale still needs its own invoice. Software that saves your products in advance makes this fast.
Related pages. If you also sell fans, ACs and fridges, read 'FBR Digital Invoicing for Electronics & Home Appliance Shops (2026)'. If you sell solar panels and inverters, read 'FBR Digital Invoicing for Solar Panel Dealers & Installers (2026)'. If you supply contractors in bulk, 'FBR Digital Invoicing for Wholesalers, Distributors & FMCG in Pakistan' helps.
Digi Invoice saves your products with their HS codes and units, adds further tax on its own for unregistered buyers, and checks each line against FBR's rules before it posts. It then prints the IRN and QR code on every invoice. You can test first in the sandbox (FBR's free practice system where test invoices do not count as real). The steps are in 'How to Register for FBR Digital Invoicing (Step by Step)'.
Difficult words in this guide
Input tax — sales tax your buyer already paid to you, which they subtract from the tax they owe.
IRN — Invoice Reference Number, the unique number FBR gives each invoice it accepts.
Third Schedule — FBR's list of goods on which sales tax is charged on the printed retail price.
Further tax — an extra sales tax, commonly 4%, charged when the buyer is not registered.
Credit note — a document that reduces the value of an invoice already posted, for returns or price cuts.
For more terms, see 'FBR Digital Invoicing Dictionary — 25 Key Terms Explained'.