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Pakistan & FBR

PRAL vs Licensed Integrator vs Your Own ERP: Which FBR Integration Route?

Integrator and software are two different choices. How PRAL, private licensed integrators, ERP vendors and IRIS manual entry compare on cost, effort and control.

By Mohammad Farrukh TahirUpdated 6 min read

Last reviewed: 7 October 2026. General information, not tax or legal advice. Prices are as published by vendors at the time of writing and change often.

When a business owner asks "who should do my FBR integration?", the answers they get mix up two separate decisions. One is which licensed integrator stands between you and FBR. The other is which software creates your invoices. This guide separates the two, compares the realistic routes, and lists the questions to ask before you pay anyone.

Two layers: the integrator and the software

The legal structure comes from Chapter XIV of the Sales Tax Rules 2006, as rewritten by SRO 69(I)/2025:

  • Rule 150XE says that, apart from PRAL, no person may carry out integration of notified registered persons through software unless licensed.
  • Rule 150XF makes PRAL (Pakistan Revenue Automation, FBR's IT company) a licensed integrator by law and says it "shall provide free of cost integration services to the registered persons on demand".

So the integrator is the licensed channel into FBR's system. The software is whatever produces the invoice: an ERP such as Odoo or SAP, an accounting package, a cloud invoicing app, or FBR's own portal. On the PRAL route, the software sends invoices to FBR using your token, and PRAL is the integrator. A private licensed integrator usually bundles both layers into one product and one bill.

The four routes compared

RouteIntegratorSoftwareTypical costBest for
IRIS manual entrynone (FBR portal)FBR's portalFreeA handful of invoices a month
PRAL + your chosen appPRAL (free)A cloud or desktop invoicing appApp subscription or setup feeSmall and mid-size businesses
Private licensed integratorHaball, EY, WebDNAworks and others licensedTheir product, or a connector to yoursLicence and service feesLarger firms wanting one vendor
Your own ERP, directPRAL (usually)Your ERP with an FBR moduleDeveloper or module costBusinesses already on an ERP

FBR named PRAL, Haball, EY and WebDNAworks as licensed integrators in April 2025 (Dawn). The live list is in the "Other Licensed Integrator" dropdown in IRIS. Since Sales Tax General Order 01 of 2026, a registered person may engage more than one licensed integrator (Profit).

Route 1: IRIS manual entry

In IRIS, Digital Invoicing offers two integration modes: API Integration and Manual Invoice Generation. Manual mode means keying each invoice into the FBR portal. It costs nothing and needs no IP whitelisting or sandbox testing, but every line, HS code and unit is typed by hand, and there is no customer or product master to speed things up. It suits a business issuing a few invoices a month. Beyond that, the time cost and typing errors add up quickly.

Route 2: PRAL plus an invoicing app

This is the route most small businesses take. In IRIS you choose API Integration, then Proceed with PRAL as Licensed Integrator, and enter the name of your software (the "ERP/System Provider"), whether it is cloud or on-premises, and the IP addresses of the server that will send invoices. PRAL accepts or rejects the IPs within two working hours, according to its user manual v1.6. Your software then passes the sandbox scenarios and you receive a production token.

The integration itself is free. What you pay for is the app and, if you want it, help with setup. Published prices vary widely: for example, MyDigitalInvoice lists plans from Rs 500 a month for very low volumes (mydigitalinvoice.com), and Tax It lists Rs 2,999 a month for 50 invoices (taxit.pk).

Route 3: a private licensed integrator

Private integrators sell an end-to-end service, often aimed at larger companies, and handle technical steps such as IP whitelisting themselves (PRAL's manual notes that PRAL does not whitelist IPs for taxpayers who use another integrator). Rule 150XO lets the Board cap the fee a licensed integrator may charge through a general order. Ask for the full price in writing, including per-invoice charges, annual renewals and what happens to your data if you leave.

Route 4: your existing ERP

If your accounts already run on an ERP, adding an FBR module keeps invoicing where your stock and ledgers are. Several ERP vendors and implementers sell DI modules. The questions are who maintains the module when FBR changes a field, and whether your ERP's server has a fixed public IP that can be whitelisted. Cloud platforms that rotate outgoing IP addresses can be a problem.

How to choose

Answer four questions:

  1. How many invoices a month? Under about ten, IRIS manual entry may be enough. Above that, use software.
  2. Do you already have an ERP? If yes, ask your ERP vendor first. If no, a PRAL-route cloud app is usually the cheapest working option.
  3. Who will fix things when an invoice is rejected? Errors are routine in the first weeks. Choose someone who answers the phone. Our guide to FBR error codes covers the common ones.
  4. What is your sector? A pure service provider usually needs two sandbox scenarios; a manufacturer can need eleven or more. More scenarios mean more setup work, whichever route you pick.

Questions to ask any vendor

  • Are you a licensed integrator, or software working through PRAL? Both are legitimate, but the answer should be clear.
  • Who owns the production token, and can I take it to another provider?
  • Will you ever ask for my IRIS password? (The right answer is no. You log in, they guide you.)
  • How do you handle a timeout? FBR's system has no automatic duplicate protection, so blind re-posting can create duplicate invoices.
  • What does it cost in year two, not just in month one?
  • Can I export all my invoices and FBR numbers if I leave?

A tax credit worth asking about

The Finance Act 2026 added section 64D to the Income Tax Ordinance, giving a tax credit of 10% of the amount spent on hardware or software used exclusively for integration, in the year it is installed; operating and maintenance costs are excluded. Whether a given setup fee qualifies is a question for your tax advisor.

Whichever route: the deadlines have passed

Since SRO 1852(I)/2025, every sales-tax-registered person has been notified for integration, and the last go-live date was 31 December 2025. Under the Finance Act 2026, failing to integrate can mean a penalty of up to Rs 1 million, then up to Rs 5 million if the default continues a month after the first penalty, and the premises are liable to be sealed. Confirm how this applies to you with your tax advisor. The full IRIS walkthrough for the PRAL route is in our step-by-step setup guide.

Where we fit

We are an Islamabad-based setup service. We use the PRAL route: you submit the IRIS application with our help, we configure the software and run the sandbox scenarios, and you keep control of your token. We are not a licensed integrator and not affiliated with FBR or PRAL. See FBR Digital Invoicing setup in Islamabad and Rawalpindi, starting with a free ATL check.

Frequently asked questions

Is PRAL a licensed integrator?

Yes. Rule 150XF of the Sales Tax Rules 2006, as substituted by SRO 69(I)/2025, makes PRAL a licensed integrator and requires it to provide integration free of cost on demand.

Do I need a private licensed integrator if I use cloud invoicing software?

Not necessarily. Many cloud apps work on the PRAL route: you choose PRAL as integrator in IRIS and name the app as your ERP/System Provider. A private integrator is an alternative, not a requirement.

Can I switch integrators later?

Since STGO 01 of 2026, a registered person may engage one or more licensed integrators. Ask your current provider how tokens and invoice data are handed over before you switch.

PRAL free hai to software ke paise kyun?

PRAL integration muft hai, lekin invoice banane wala software ya setup ki madad alag cheez hai. Kam invoices hon to IRIS manual entry bhi free hai.

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