ISLAMABAD: The Federal Board of Revenue (FBR) has issued Sales Tax General Order (STGO) No. 19/2026-IR Policy, revising the sales tax framework applicable to specified footwear supplies.
The order, dated August 20, 2026, has been issued as a corrigendum to STGO No. 11/2026, which was issued on July 17, 2026.
Under the latest order, the existing Annexure-A attached to STGO No. 11/2026 has been withdrawn and replaced with a revised Annexure-A.
According to the FBR, the revised annexure will apply to the levy, assessment and collection of sales tax on supplies covered under Serial No. 65 of the Third Schedule to the Sales Tax Act, 1990.
The amendment specifically relates to specified footwear supplies made by manufacturers, importers and retailers that are digitally integrated with the FBR and comply with its point-of-sale (POS) requirements.
The FBR said the revised provisions are intended to provide greater clarity regarding the application of sales tax on the covered supplies. Businesses falling within the scope of Serial No. 65 will therefore be required to follow the updated Annexure-A when charging and reporting sales tax.
The tax authority also clarified that all other provisions of STGO No. 11/2026 will remain unchanged and continue to remain in force.
The corrigendum has been given retrospective effect from July 1, 2026.
The FBR has advised manufacturers, importers and retailers covered by the order to carefully review the revised Annexure-A and ensure that their sales tax charging, assessment and reporting practices are aligned with the updated requirements.
The development is particularly relevant for businesses operating under the FBR’s digital invoicing and POS integration framework. Tax experts believe the revision could help remove ambiguities and promote uniform implementation of sales tax rules across the footwear sector.
Businesses have also been advised to update their internal tax and invoicing procedures where necessary to avoid compliance issues under the revised framework.
