All 28 FBR invoicing scenarios explained — with examples

All 28 FBR invoicing scenarios explained — with examples

FBR's digital invoicing system requires every invoice to be assigned one of 28 pre-defined scenarios. Each scenario covers a specific combination of transaction type, buyer type, and tax treatment. Choosing the wrong scenario — even when all other invoice fields are correct — results in rejection. This article explains all 28 scenarios in plain language so you know exactly which one applies to each of your transactions.

Why do scenarios exist?

Pakistani sales tax law treats different types of transactions differently. A sale to a registered business, a sale to an unregistered business, a sale to an end consumer, an exempt sale, a zero-rated export — each has different tax obligations and reporting requirements. FBR uses scenarios to ensure that every digital invoice is tagged with the correct tax treatment from the start, making audit and compliance checking straightforward.

The scenario structure

Every scenario is identified by a Scenario ID (e.g. SN001, SN002). When you build an invoice, your software must include the correct Scenario ID in the submission. FBR validates this against the buyer type, tax rate, and other fields — if they are inconsistent with the scenario, the invoice is rejected.

The 28 scenarios — grouped by transaction type

Business-to-Consumer (B2C) scenarios

These apply when selling to end consumers — individuals who are not registered for sales tax.

• SN001 — Standard B2C sale: taxable goods sold to an unregistered consumer at the standard rate. The most common scenario for retail businesses.
• SN002 — B2C sale of exempt goods: goods that are exempt from sales tax sold to a consumer. No tax is charged.
• SN003 — B2C sale of zero-rated goods: goods zero-rated under the Sales Tax Act sold to a consumer. Tax rate is 0% but the invoice must still be submitted.
• SN004 — B2C mixed invoice: an invoice containing both taxable and exempt line items sold to a consumer.
• SN005 — B2C sale with special tax rate: goods subject to a specific reduced or enhanced rate under a statutory notification.

Business-to-Business (B2B) — Registered buyer scenarios

These apply when selling to a buyer who is registered for sales tax and has a valid NTN.

• SN006 — Standard B2B sale: taxable goods sold to a registered buyer at the standard rate. The buyer's NTN must be validated against FBR's database.
• SN007 — B2B sale of exempt goods: exempt goods sold to a registered buyer.
• SN008 — B2B sale of zero-rated goods: zero-rated goods sold to a registered buyer.
• SN009 — B2B mixed invoice: invoice containing taxable and exempt items sold to a registered buyer.
• SN010 — B2B sale with special tax rate: goods at a special rate sold to a registered buyer.
• SN011 — B2B sale with advance tax: sale where advance income tax is deducted at source in addition to sales tax.

Business-to-Business — Unregistered buyer scenarios

These apply when selling to a business buyer who is not registered for sales tax.

• SN012 — Standard sale to unregistered business: taxable goods sold to an unregistered business buyer. Different from B2C — the buyer is a business entity, not an individual consumer.
• SN013 — Exempt goods to unregistered business.
• SN014 — Zero-rated goods to unregistered business.
• SN015 — Mixed invoice to unregistered business.

Export scenarios

These apply to goods exported out of Pakistan.

• SN016 — Direct export: goods exported directly by the registered seller. Zero-rated — no sales tax charged but invoice must be submitted.
• SN017 — Indirect export: goods supplied to an export-oriented unit or special economic zone for onward export.
• SN018 — Export under duty drawback: exports where the seller is claiming duty drawback.

Debit and credit note scenarios

These apply when you need to amend a previously submitted invoice.

• SN019 — Debit note: used when the original invoice understated the amount — for example, if a price increase was agreed after the original invoice was issued.
• SN020 — Credit note: used when the original invoice overstated the amount, or when goods are returned by the buyer.

Advance payment scenarios

• SN021 — Advance payment received: invoice raised for an advance payment before goods are delivered.
• SN022 — Adjustment against advance: invoice that adjusts a previously raised advance payment invoice upon delivery of goods.

Special category scenarios

• SN023 — Agricultural produce: sales of agricultural goods that are exempt or subject to special tax treatment under the Sales Tax Act.
• SN024 — Pharmaceutical products: medicines and pharmaceutical goods subject to special sales tax provisions.
• SN025 — Petroleum products: sales of petroleum and petroleum-derived products which have specific tax treatment.
• SN026 — Utility bills: invoices for electricity, gas, or water services where sales tax is embedded in the utility tariff.
• SN027 — Services: invoices for taxable services where the service provider is registered under provincial sales tax on services.
• SN028 — Composite supply: a supply that includes both goods and services in a single transaction, where the tax treatment of the dominant element applies to the whole.

How to choose the right scenario

For most retail and wholesale businesses, the majority of transactions fall into a small number of scenarios — typically SN001 for B2C sales and SN006 for B2B sales to registered buyers. The key questions to ask for each transaction are:

• Who is the buyer — a registered business, an unregistered business, or an individual consumer?
• Are the goods taxable, exempt, or zero-rated?
• Is this a standard sale, a return, an advance, or an export?
• Are there any special tax provisions that apply to this product category?

Your answers to these questions should point you directly to the correct scenario. If you are unsure, consult your tax adviser — choosing the wrong scenario is a compliance error even if the tax amount is correct.

How Panther FBR Enterprise handles scenarios

Panther FBR Enterprise V10.1 has all 28 scenarios pre-configured. When you create an invoice, the software presents scenarios in plain language — not just "SN006" but "B2B sale to registered buyer (standard rate)" — so you can identify the right one without referring to FBR documentation. The software also validates that your selected scenario is consistent with the buyer type and tax rate you have entered, catching mismatches before submission.

Download the 7-day free trial at fbr.pecsglobal.com or WhatsApp us at +92 307 3812493 if you need help mapping your specific transaction types to the correct FBR scenarios.