FBR Digital Invoicing for Tyre, Battery & Auto Parts Shops (2026)

Short answer: if your shop is sales tax registered, the tyres, batteries and auto parts you sell must be billed through FBR's Digital Invoicing system (the real-time billing system, meaning FBR checks and saves each bill the moment you make it). This covers car and truck tyres, tubes, lead-acid batteries, engine oil, filters, brake pads, belts and other spare parts.

The rules come from SRO 1852(I)/2025, the notification FBR issued on 24 September 2025 that sets who must join and by when. Under it, the last group of registered businesses had to be in by 31 December 2025. Miss your date and the penalty starts at Rs 1 million. Every bill you post gets an IRN (Invoice Reference Number — the unique number FBR gives each invoice) and a QR code (the square barcode a buyer can scan to check the bill is real).

A very small shop that is below the sales tax limit is not in the system yet. It joins once it registers, or once FBR notifies its group. If you are already registered, read on — this trade has one twist worth getting right: you sell goods, but you often charge for fitting too, and the two are taxed differently.

A tyre shop does two things in one visit. It sells you a tyre or a battery (that is a supply of goods), and it fits or balances it for you (that is a service). FBR Digital Invoicing is a federal system that mainly covers the sale of goods. So the tyre, tube, battery or spare part goes on your FBR digital invoice as a normal taxable sale.

Pure labour — fitting, wheel balancing, alignment, oil-change service charge — is a service. Services are taxed by the provinces, not FBR: SRB in Sindh, PRA in Punjab, KPRA in Khyber Pakhtunkhwa and BRA in Balochistan. Islamabad is the one place where a service is billed federally (FBR scenario SN019). Our guide 'FBR vs Provincial E-Invoicing (SRB, PRA, KPRA)' explains who taxes what.

The simple rule: bill the parts on your FBR invoice, and handle any separate fitting or labour charge under your province's service rule. Many small shops that only sell parts and give free fitting have nothing extra to worry about — they just bill the goods. Our guide 'Goods vs Services on FBR Digital Invoicing' shows the split with examples.

A normal sale of tyres, batteries or parts inside Pakistan is standard taxable goods and carries the normal rate — 18% at the time of writing (always confirm today's rate with your tax adviser, as rates change). In FBR's test list this is scenario SN001 when the buyer is a registered business, SN002 when the buyer is unregistered, and SN026 when you sell straight to a walk-in customer.

Each product line needs a few fields: the item name, the quantity, the unit of measure (UoM — how you count the item, such as pieces or numbers), your selling price, and the tax. Every product also needs an HS code (Harmonised System code — an international product number FBR uses to name the item). Set the right code once per tyre size or battery type and Digi Invoice reuses it every time.

When you sell to an unregistered buyer, an extra charge called further tax is usually added on top of the normal tax. The exact figure changes over time, so confirm the current one with your adviser. Our guide 'Registered vs Unregistered Buyers on FBR Invoices' shows both sides so you enter the right amount.

This trade sells some expensive single items — a truck or tractor tyre, or a large truck battery, can each cost well above Rs 20,000. That matters for one FBR rule you should know.

The reduced 5% rate is not allowed once a single item's value crosses Rs 20,000 (this is FBR error 0079 — if you try it, FBR rejects the bill). In plain words: a costly tyre or battery simply uses the normal rate, not any reduced rate. For most shops this is automatic, because tyres and batteries are standard-rate goods anyway.

If you sell a branded item that carries a printed retail price on the box, check whether it falls under the Third Schedule, where tax is worked out on the printed price instead of your selling price. Most plain parts do not; a few branded packaged goods may. Our guide 'Third Schedule Goods and Printed Retail Price' helps you tell which is which.

Battery shops often take the customer's old battery in part-exchange and knock money off the new one. Remember: buying the old battery is a purchase you make, not a sale you issue. Your FBR digital invoice is for the new battery you sell. If you give a discount for the trade-in, show it as a discount on the sale line so the tax is worked out correctly — do not net it off silently.

Parts come back too — a wrong tyre size, a faulty battery under warranty. You do not delete a posted bill; FBR keeps every one. Instead you raise a credit note against the original to reduce it, or a debit note to add to it. Our guide 'Debit Notes and Credit Notes in FBR Digital Invoicing' walks through it step by step.

If you also sell whole vehicles or work as a mechanic as well, see our sister guides 'FBR Digital Invoicing for Car Dealers' and 'FBR Digital Invoicing for Auto Workshops & Car Mechanics' — those cover the vehicle and repair-labour sides that sit next to your parts counter.

On a busy counter you do not want to type each bill by hand. Save your full product list once — every tyre size, tube, battery type, oil grade and filter with its rate and HS code — and bill in a few taps. You can also import many bills together; our guide 'FBR Digital Invoicing Bulk Upload' shows how.

Digi Invoice puts the right amount in the correct box, works out the tax, and posts the bill to FBR for you. You get the IRN, the QR code and a clean printable invoice back in seconds. Our guide 'How Sales Tax Is Calculated on an FBR Digital Invoice' shows every figure FBR checks on the line.

Ready to start? Create a free account and post your first FBR-compliant tyre, battery or auto-parts invoice the same day — then add fitting or labour under your province's service rule if you charge for it separately.

IRN (Invoice Reference Number) — the unique number FBR gives your bill after you post it. No IRN means the bill is not valid for FBR.

QR code — the square barcode printed on the bill; anyone can scan it to check the invoice is real.

HS code (Harmonised System code) — an international product number FBR uses to name each item, like a tyre size or a battery type.

Further tax — an extra charge added when you sell goods to an unregistered buyer, on top of the normal tax.

Third Schedule — a list of goods where tax is charged on the printed retail price, not your selling price.

Provincial service tax — tax on labour and services collected by SRB, PRA, KPRA or BRA, not by FBR (Islamabad is the federal exception).