KARACHI: President of the Karachi Chamber of Commerce and Industry (KCCI), Rehan Hanif, expressed approval for the Federal Board of Revenue's issuance of Sales Tax General Order No. 25 of 2026, which aims to facilitate the business sector by simplifying the movement of goods between manufacturing units and warehouses.

According to Karachi Chamber of Commerce and Industry, the Order is a result of the Chamber's persistent efforts to address the challenges faced by the business community. Hanif emphasized that the Chamber's advocacy efforts were instrumental in bringing about a practical solution. The new Order clarifies that transferring goods between a factory and a warehouse under the same Sales Tax Registration Number (STRN) is not a taxable supply, thus eliminating the need for digital invoicing for such movements.

The Order mandates that businesses carry a Stock Transfer Note labeled "Stock Transfer - Not a Taxable Supply" during transportation. Field formations are instructed not to consider this Note as non-compliance, provided the sending and receiving locations share the same STRN. Hanif noted that this clarification will reduce uncertainty and facilitate uninterrupted goods movement, enhancing clarity for both taxpayers and field officers.

The Order also instructs field officers to avoid demanding additional documents beyond those prescribed and to refrain from inspecting or unloading goods in transit, except for Third Schedule goods. Hanif highlighted the importance of predictable procedures for the business community, asserting that the Order addresses a critical issue and simplifies inter-premises goods movement.

Hanif reaffirmed the KCCI's commitment to advocating for business-friendly solutions and addressing concerns with governmental and regulatory bodies.