The Federal Board of Revenue (FBR) has introduced a new facility in its IRIS online tax system, allowing registered taxpayers to amend or cancel electronic sales tax invoices even after the expiry of the existing 72-hour time limit. The facility, however, will require prior approval from the concerned Commissioner Inland Revenue (CIR), ensuring that requests for changes remain subject to regulatory scrutiny. The development is intended to facilitate taxpayers who identify errors or discrepancies in electronic invoices after the system’s prescribed correction period has ended.
According to a user manual issued by Pakistan Revenue Automation (Private) Limited (PRAL) on Thursday, the new functionality provides a formal mechanism for submitting applications for the amendment or cancellation of eligible electronic sales tax invoices. Previously, taxpayers could make such changes through the system within 72 hours of invoice generation. Under the revised arrangement, requests submitted after this period can also be considered, provided taxpayers obtain approval from the relevant tax authority.
The new option is available through the IRIS portal under the Sales Tax applications section. Taxpayers are required to log into their accounts and select the option titled “Application for Amendment in Electronic Sales Tax Invoice (after 72 hrs)”. After selecting the relevant tax period, applicants can identify the invoices they want to modify or cancel by entering their respective FBR Invoice Transaction Numbers. The system then allows the selected invoices to be loaded for the requested action.
Under the procedure outlined in the manual, taxpayers can either make amendments to invoice details or request cancellation of selected invoices. However, the system maintains a distinction between the two actions. An invoice selected for modification cannot subsequently be cancelled through the same application, while an invoice selected for cancellation cannot be amended. This separation is intended to ensure that each application clearly identifies the action requested by the taxpayer and can be examined accordingly by the concerned tax officer.
The application process also includes an option to upload supporting documentation in PDF format. Taxpayers can attach relevant records to explain the reasons for requesting an amendment or cancellation after the 72-hour period. The concerned tax officer may also request additional information or clarification through the Internal Correspondence facility available within IRIS. This mechanism allows the tax authorities to examine the circumstances surrounding each request before reaching a decision.
An important aspect of the new facility concerns the submission of sales tax returns while an application remains under review. According to the manual, taxpayers will not be able to submit Annexure-C (Sales) of their sales tax returns while their application is pending before the Commissioner Inland Revenue. The IRIS system will restrict submission of the relevant annexure until the commissioner communicates a decision on the requested amendment or cancellation.
Once an application receives approval, the updated electronic invoices will become available for loading into Annexure-C, subject to the applicable system validations. This will allow taxpayers to incorporate the approved invoice details into their sales tax return process. However, if the commissioner rejects the application, the original invoices, as they existed before the requested modification or cancellation, will be loaded into Annexure-C and the Federal Excise Return, wherever applicable. This ensures that rejected requests do not automatically change the original electronic invoice records.
The FBR has also established restrictions to prevent taxpayers from repeatedly submitting applications for invoices that have already entered certain stages of the tax reporting process. Applications cannot be submitted for invoices already linked with Annexure-C of a Sales Tax Return or Federal Excise Return. The facility is also unavailable for invoices for which the Commissioner Inland Revenue has already approved an earlier application.
Taxpayers can submit multiple applications for the same tax period, but invoices previously included in an application or rejected by the commissioner cannot be included in a fresh application. Similarly, invoices for which a decision is still pending cannot be submitted again through another application. These conditions are intended to prevent duplicate requests and ensure that each invoice is processed through a defined approval procedure.
The introduction of this functionality provides additional flexibility for businesses dealing with electronic invoicing requirements, particularly when errors are identified after the initial correction window. Companies and registered taxpayers can now formally approach the relevant tax authority to seek corrections or cancellations beyond the prescribed 72 hours instead of being restricted entirely by the system’s original time limit.
The change also reflects the expanding role of digital infrastructure in Pakistan’s tax administration. With electronic invoicing and online sales tax reporting becoming increasingly important, the FBR is introducing additional mechanisms to manage invoice-related issues through its IRIS platform. The new facility offers taxpayers a structured route for resolving discrepancies while retaining the commissioner’s authority to examine and approve requests before changes are reflected in the tax reporting system.
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