FBR to launch digital e-Bilty system, end paper documents

ISLAMABAD: The flagship project of the Federal Board of Revenue (FBR), i.e., Cargo Tracking System (CTS), will replace the paper document with a digital e-Bilty generated on a central portal.

Sources told Business Recorder that the current reliance on paper Biltys and manual physical check-posts creates significant bottlenecks for legitimate trade and leaves room for systemic malpractices.

The CTS will replace the paper document with a digital e-Bilty generated on a central portal. This provides real-time visibility of cargo, allowing us to reduce en route physical inspections for compliant traders while actively targeting smuggled or non-tax-paid goods.

The Federal Board of Revenue (FBR) has marked a major milestone in its digitalization and modernization agenda by officially signing the contract for the Strategic Feasibility Assessment and Solution Design of the National Cargo Tracking System (CTS) and e-Bilty Mechanism.

Presently, smugglers and tax evaders exploit the lack of transparency in paper-based systems. This system will allow Customs Enforcement teams to immediately identify smuggled goods or cargo moving without the payment of sales tax. It protects our economy from the dual threats of smuggling and tax evasion, and crucially, it relieves the administrative burden on our officers and the logistics sector. The FBR is successfully moving from physical roadblocks to digital checkpoints.

By generating a unique QR-coded e-Bilty and eventually using tracking technologies (like RFID or IoT devices on vehicles), law enforcement can instantly verify if the cargo on a truck matches what was declared. Furthermore, integrating this with our digital invoicing system will help eliminate the use of fake or “flying” sales tax invoices.

A critical deliverable of this current design phase is the creation of a robust data governance and cybersecurity architecture. The system will be designed to integrate securely with internal FBR systems and necessary external databases like NADRA and Motor Registration Authorities.

The FBR has officially commenced the design phase of the National Cargo Tracking System, integrated with an e-Bilty mechanism. This consultancy will provide us with the blueprint, the technical architecture, and the strategic roadmap to replace paper with real-time digital tracking.

Over the next five months, the FBR’s elected partners will conduct deep assessments of our infrastructure, benchmark against global best practices, and design a system that seamlessly connects our domestic environment.

They said that a significant challenge the FBR faces in revenue collection is the use of fake or flying invoices and the misreporting of manufactured goods. By implementing an e-Bilty system and integrating it with Inland Revenue systems such as the one for digital invoicing, we are closing the loopholes that allow for sales tax avoidance.

The FBR is drawing inspiration from successful models in countries like China, Brazil, and Turkey, adapting their technological successes to Pakistan’s unique landscape. Ultimately, a digitized, transparent supply chain levels the playing field for legitimate businesses and ensures the public exchequer receives its due revenue.

Copyright Business Recorder, 2026