FBR Digital Invoicing for LPG Distributors and Cylinder Dealers in Pakistan (October 2026)
LPG distributors and cylinder dealers: OGRA's October 2026 price includes 18% GST. How to post FBR digital invoices, pick HS code and KG, and split tax.
What this page tells you
This page is for LPG marketing companies, distributors and cylinder dealers. It shows how to post each LPG sale to FBR, how to take the sales tax out of OGRA's price, and which mistakes get invoices rejected.
The key facts first. On 1 October 2026 OGRA (Oil and Gas Regulatory Authority — the body that fixes the LPG price each month) set the October price at Rs 279.34 per kg. A domestic 11.8 kg cylinder now costs up to Rs 3,296.23, up from Rs 3,052.09 in September. OGRA's own price working adds 18% GST (General Sales Tax) at the producer stage and again on the marketing and distribution margin.
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 still not integrated faces a Rs 1,000,000 penalty, up to Rs 5,000,000 if the failure goes on for a month, and its premises can be sealed.
How to take the sales tax out of the OGRA price
OGRA's price is a consumer price that already includes sales tax. But an FBR digital invoice asks for the value before tax and the sales tax as two separate numbers. So you must work backwards.
The simple formula: value before tax = price ÷ 1.18. Sales tax = price − value before tax. For one 11.8 kg cylinder at Rs 3,296.23, the value before tax is about Rs 2,793.42 and the sales tax is about Rs 502.81.
Do the same for bulk sales by weight. At Rs 279.34 per kg, the value before tax is about Rs 236.73 per kg. A distributor who sells 1,000 kg to a hotel at this price shows a value of about Rs 236,729 and sales tax of about Rs 42,610.
Round only at the end of the line, not on each kg. FBR checks that sales tax equals value × rate. If you round too early, the numbers drift and FBR can reject the invoice. 'How Sales Tax Is Calculated on an FBR Digital Invoice: The Formulas FBR Actually Validates' shows the checks.
Prices change every month, and sometimes more than once. Update the price in your software on the day OGRA announces it. Do not post October sales at the September price.
How to fill an LPG invoice correctly
HS code (the international product number that tells FBR what you sold). LPG falls under heading 2711 of the Pakistan Customs Tariff (petroleum gases). Propane, butane and mixed LPG have their own sub-codes, so use the full 8-digit code for your product. 'HS Codes in FBR Digital Invoicing: A Practical Guide' shows how to find it.
Unit of measure. Show the gas in kilograms (KG), even when you sell by cylinder. Ten 11.8 kg cylinders is 118 KG. The empty cylinder is a separate item. A refundable cylinder security deposit is not a sale of gas, so keep it off the gas line. See 'UoM in FBR Digital Invoicing: Picking the Right Unit of Measurement (2026)'.
Do not copy the petrol pump method. Petrol and diesel follow their own rules, explained in 'FBR Digital Invoicing for Petrol Pumps, OMCs & Petroleum Products (SN012 Explained)'. LPG is taxed at 18% in OGRA's price working, so most LPG sales use the standard-rate scenario. Confirm the rate for your exact HS code before you post, because FBR can change rates by notification.
Buyer type. Mark each buyer as Registered or Unregistered. Hotels, restaurants, factories and poultry farms are often registered. For a registered buyer, enter their NTN or STRN so they can claim your sales tax as input tax (sales tax paid on purchases, which they subtract from the tax they owe). For an unregistered business buyer, add their 13-digit CNIC; further tax (an extra sales tax on some sales to unregistered buyers) may also apply. 'Registered vs Unregistered Buyers on FBR Invoices: Registration Type, Further Tax and ATL Checks' covers the rules.
Many shops, credit sales and getting started
Many outlets. LPG distributors often run several shops or a delivery fleet. Each point that issues invoices needs to post through your one FBR connection, with its own invoice series. 'FBR Digital Invoicing for Businesses with Multiple Branches or Outlets (2026)' explains how.
Credit sales. Bulk LPG to hotels and factories is often on credit. Your buyer must pay any invoice above Rs 50,000 through a bank, or they lose the input tax. 'Udhaar (Credit Sales) and FBR Digital Invoicing: The Section 73 Rule — Rs 50,000, Bank Payment and 180 Days (2026)' explains the time limit.
Mistakes and price changes. If you post a wrong price, do not delete the 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 debit note or credit note pointing to the original IRN (Invoice Reference Number — the unique number FBR gives every invoice). 'Debit Notes and Credit Notes in FBR Digital Invoicing' shows the steps.
Related pages. 'FBR Digital Invoicing for Wholesalers, Distributors & FMCG in Pakistan' covers bulk trade in general. 'IRN and Input Tax Adjustment: Why Your Buyers Need FBR-Verified Invoices' explains why hotels and factories will ask for your IRN.
Digi Invoice saves your LPG items with their HS codes and units, splits a tax-inclusive price into value and tax for you, 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
OGRA — Oil and Gas Regulatory Authority, which sets the LPG price every month.
GST — General Sales Tax, 18% in OGRA's LPG price working.
Tax-inclusive price — a price that already has sales tax inside it; divide by 1.18 to find the value before tax.
HS code — the product number from the customs tariff; LPG is under heading 2711.
IRN — Invoice Reference Number, the unique number FBR gives each invoice it accepts.
For more terms, see 'FBR Digital Invoicing Dictionary — 25 Key Terms Explained'.