FBR’s Inland Revenue wing used to sell seized goods through physical auctions. Few people knew when they were happening. Fewer could take part.
That is changing.
FBR has issued SRO 1889(I)/2026, which adds a new chapter to the Sales Tax Rules, 2006. Seized and confiscated goods will now be sold through an online e-auction module.
For traders, wholesalers, and ordinary buyers, this opens a new, more transparent route to buy goods the FBR has taken into custody. Here’s how it works.
What Is the FBR E-Auction Rules 2026 Framework?
The FBR E-Auction Rules 2026 framework replaces in-person auctions with online bidding.
The legal basis
The FBR issued SRO 1889-I of 2026 around October 22, 2026.
It inserts Chapter XVII-C into the Sales Tax Rules, 2006, covering rules 158L to 158W.
It applies to goods held by Inland Revenue. Customs auctions follow their own separate rules.
What can be auctioned
- Confiscated goods
- Seized goods cleared for disposal under an adjudication order
What cannot be auctioned
- Arms and ammunition
- Narcotics
- Obscene or prohibited material
- Counterfeit goods
- Anything banned by law
They are excluded unless the Board otherwise orders.
Why move online
- Transparency: every bid is logged with its time and bidder ID.
- Wider participation: anyone eligible can bid from anywhere in Pakistan or abroad.
- Better prices: more bidders should result in more sale proceeds.
- Less room for manipulation: no closed rooms and no hand-picked buyers.
How the reserve price is set
. It includes an Additional Commissioner, a Deputy Commissioner, and an Assistant Commissioner.
The committee looks at:
- A valuation committee of 3 members decides a minimum price for each property. Average prices of similar goods in sales tax returns
- Printed retail prices, less a trader’s margin
- Customs-assessed values for imported goods
- Market quotations where no other benchmark exists
- The age, condition and shelf life of the goods
If a lot fails to sell in three auctions in a row, the reserve price can be reduced in steps of up to 10%.
Eligibility and the Rs 25,000 Bidder Registration Fee
Who can take part
- Anyone holding a valid CNIC
- Overseas Pakistanis holding a valid NICOP
The registration fee
A one-time registration fee applies.
The guidelines have fixed it at not less than Rs 25,000.”
That means Rs 25,000 is the minimum. The actual fee may be set higher.
What you get
Once approved, the module issues you a unique bidder number.
You use it for all future auctions.
An officer may refuse registration and shall state the reasons in writing.
How to register for FBR e-auction
Here’s how to register for FBR e-auction once the module goes live:
- Open the e-auction module on FBR’s system.
- Enter your CNIC or NICOP and contact details.
- Pay the registration fee through the prescribed payment channel.
- Wait for approval and your bidder number.
- Protect your login information.
The FBR has yet to declare a web address or date for the module’s deployment. Check FBR’s official website before paying anyone.
The Step-by-Step Digital Bidding and Asset Clearance Process
Here’s how the electronic auction of seized goods in Pakistan will work from start to finish.
Step 1: The auction notice
Each notice will show:
- Auction number and description
- Quantity and location
- Reserve price and photos
- Inspection arrangements
- Bidding period and minimum bid increment
- Bid security required
- Taxes, duties and delivery conditions
Step 2: Inspect the goods
Custodians must allow inspection before bidding.
Always inspect before you bid. Condition matters.
Step 3: Place your bids
Bidding stays open for 72 hours from the first bid.
The current highest bid is shown live.
Every valid bid is recorded with date, time, and bidder ID.
Step 4: Acceptance
The authorised officer has 72 hours to accept the highest bid.
The bid is generally over the reserve price.
A lower bid requires formal clearance from senior officers.
Step 5: Pay in full
The winner must pay 100% of the accepted bid.
Applicable taxes, duties, and fees are added.
Advance income tax under Section 236A also applies to auction purchases. Filer status affects the rate.
Payment is expected within seven days of the closing of the auction, reports say.
Step 6: Collect your goods
Goods are released only after payment is verified.
An electronic release order is issued.
Bring your original CNIC or NICOP to collect.
If a winner fails to pay
- The sale can be cancelled.
- The bid security can be forfeited.
- The lot can go to the next highest bidder or be re-auctioned.
- The defaulter can be suspended from auctions for up to six months.
The Commissioner’s powers
- Cancel an auction
- Disqualify bidders
- Recover goods after delivery if fraud, misrepresentation or revenue loss is established.
Protection for owners
- Officers must check for court stays and release options before auctioning goods.
- Goods under a stay order cannot be sold.
- After costs, taxes, and dues, any balance of the sale proceeds goes to the owner.
Practical Tips for Bidders
- Be on the Active Taxpayer List before bidding. Non-filers pay higher advance tax.
- Have money on hand to pay by the deadline.
- Read each auction notice carefully, including taxes and delivery conditions.
- Never bid without inspecting high-value goods.
- Use only FBR’s official portal. Beware of fake links.
Let TaxAccountant.pk Handle Your Commercial Registrations and Compliance
Buying through FBR’s e-auctions works best when your own tax profile is in order.
At TaxAccountant.pk, we help traders and businesses:
- Register for an NTN and sales tax
- Stay on the Active Taxpayer List
- Navigate IRIS and FBR’s online systems
- Understand the tax on auction purchases
- File income tax and sales tax returns on time
The income tax filing deadline for Tax Year 2026 is October 31. Get your filer status secured before you start bidding.
