In February 2026, FBR issued SRO 288(I)/2026, a draft notification proposing a substitution of Chapter VIIA of the Income Tax Rules, 2002, covering the online integration of businesses. It is worth knowing about, and worth being precise about what it currently is: a draft that has been circulated for comment, not a rule that is in force.
What it proposes
The draft sets out a framework for how businesses connect and report through FBR's online systems under the Income Tax Rules, running alongside the existing Sales Tax Rules framework that digital invoicing already operates under. The exact operational detail, thresholds, and timelines are what the draft period exists to work out, which is also why it is not something to treat as settled yet.
Why "draft" is not a technicality here
FBR's own framing is explicit: the draft is not yet effective and becomes enforceable only after a final notification is issued. That distinction matters practically, not just legally. Businesses have been caught out before by treating an FBR draft or a reported deadline as final, only for the actual enforceable version to differ in scope or timing once it is formally notified. Reacting to a draft as though it were already binding can mean spending effort on requirements that shift before they take effect.
What to actually do while it is a draft
The sensible position is neither to ignore it nor to over-react to it. FBR has flagged that businesses should begin readiness planning, which is different from implementation. That means knowing the draft exists, understanding roughly what it covers, and keeping an eye on further notifications, without restructuring your systems around specifics that have not been finalised. If your business is already integrated with digital invoicing under the current rules, most of the underlying groundwork, real-time reporting infrastructure, structured data submission, is likely to carry forward regardless of exactly how this particular draft lands.
Where to watch for the final version
FBR notifies changes like this through its own SRO publication channel, and it is worth checking there directly rather than relying solely on secondary reporting, since drafts do get revised between the version first circulated and what is ultimately notified. We will update this article once SRO 288(I)/2026, or whatever supersedes it, is formally in force.
Already compliant on the sales tax side?
Whatever this draft finalises into, being properly integrated with digital invoicing today puts you ahead rather than starting from zero.
See AxiomSquareGeneral information, not tax or legal advice. This describes a draft notification that was not yet in force at the time of writing. Confirm current status with your tax consultant.