Pakistan Salary Tax Calculator
Calculate your Pakistan salary tax for Tax Year 2022 through Tax Year 2026. Enter your monthly or annual gross salary and pick the year — the calculator runs the FBR slab structure and shows your tax, take-home, and effective rate instantly.
Enter your salary
Finance Act 2025
Pakistan salary tax slabs — Tax Year 2026
Source: Finance Act 2025. Period covered: Jul 2025 – Jun 2026.
| Annual taxable income (PKR) | Rate of tax |
|---|---|
| Up to 600,000 | 0% (no tax) |
| 600,000 – 1,200,000 | 1.0% on amount over PKR 600,000 |
| 1,200,000 – 2,200,000 | PKR 6,000 + 11.0% on amount over PKR 1,200,000 |
| 2,200,000 – 3,200,000 | PKR 116,000 + 23.0% on amount over PKR 2,200,000 |
| 3,200,000 – 4,100,000 | PKR 346,000 + 30.0% on amount over PKR 3,200,000 |
| Above 4,100,000 | PKR 616,000 + 35.0% on amount over PKR 4,100,000 |
What Is Salary Tax in Pakistan?
In Pakistan, your salary is taxed under Section 149 of the Income Tax Ordinance, 2001. Your employer is legally required to withhold income tax from your monthly salary at the rate set by the annual Finance Act and deposit it with the Federal Board of Revenue (FBR) on your behalf. The cumulative amount is reported on your annual salary certificate, which you use when filing your return on the IRIS portal.
Pakistan uses a progressive slab systemfor salaried individuals: each rupee you earn falls into a slab, and the higher the slab, the higher the marginal rate on that portion. You do not pay the top rate on your whole salary — only on the income within that top bracket.
How Pakistan Salary Tax Is Calculated — A Worked Example
Suppose your gross annual salary in Tax Year 2026 is PKR 3,000,000(PKR 250,000/month). Here's how the calculator arrives at your tax:
- The first PKR 600,000 is taxed at 0% — tax = PKR 0.
- The next PKR 600,000 (600,000 to 1,200,000) is taxed at 1% — tax = PKR 6,000.
- The next PKR 1,000,000 (1,200,000 to 2,200,000) is taxed at 11% — tax = PKR 110,000.
- The next PKR 800,000 (2,200,000 to 3,000,000) is taxed at 23% — tax = PKR 184,000.
- Total annual tax: PKR 300,000. Monthly withholding: PKR 25,000. Effective rate: 10.0%.
The calculator above does this math automatically for any salary and any tax year between 2022 and 2026 — including the surcharge on tax payable that kicks in above PKR 10 million annual income.
What Counts as “Taxable Salary”?
Taxable salary under Section 12 of the Income Tax Ordinance includes:
- Basic salary
- House rent allowance (HRA)
- Conveyance allowance and bonuses
- Cost of living adjustments and special allowances
- Provident fund employer contributions above the prescribed exempt limit
- Cash gifts and termination benefits (subject to specific rules)
Certain components are exempt or partially exempt — for example, recognised provident fund contributions up to a threshold, medical allowance up to 10% of basic, and certain pension payments. The calculator assumes you're entering the full taxable figure; if your salary slip separates exempt allowances, deduct them before entering.
Salaried Individuals vs Business Individuals — Two Different Slabs
Pakistan applies two separate slab structures for individuals:
- Salaried individuals — people whose salary is at least 75% of their total taxable income. The lower-rate slabs apply. This is what this calculator uses.
- Non-salaried (business) individuals and AOPs — sole proprietors, partners, and Associations of Persons. A higher slab structure applies under a separate Schedule of the Ordinance.
If your primary income is from business or freelancing rather than employment, this calculator under-estimates your liability. Talk to our tax team for an accurate non-salaried computation.
When Salary Tax Is Withheld vs When You File
Withholding (monthly): Your employer deducts tax from each salary payment and deposits it monthly with FBR. The deduction matches the calculator's monthly tax output.
Filing (annual): By 30 September following the tax year, you file your return on the IRIS portal, declare your salary and any other income, and reconcile what was withheld against your final liability. If your employer over-withheld — or if you have deductions like Zakat, charitable donations, or tax credits — you claim a refund through the return. Staying on the Active Taxpayer List keeps your withholding rates at the filer level across banking, vehicle, and property transactions for the year ahead.
How to use the Pakistan salary tax calculator
- Pick the relevant Tax Year (Pakistan's tax year runs July to June).
- Choose whether you want to enter a monthly or annual salary figure.
- Type your gross salary (before any deductions). The calculator updates instantly.
- Review the result panel for total tax, monthly tax withholding, effective rate, and take-home — plus the slab-by-slab breakdown.
Frequently asked questions
Pakistan salary tax slabs — all years (2022 to 2026)
Reference tables for every Pakistan salary tax year currently supported by this calculator. Each set of slabs is sourced directly from the relevant Finance Act.
Tax Year 2026
Jul 2025 – Jun 2026 · Finance Act 2025| Annual taxable income (PKR) | Rate of tax |
|---|---|
| Up to 600,000 | 0% (no tax) |
| 600,000 – 1,200,000 | 1.0% on amount over PKR 600,000 |
| 1,200,000 – 2,200,000 | PKR 6,000 + 11.0% on amount over PKR 1,200,000 |
| 2,200,000 – 3,200,000 | PKR 116,000 + 23.0% on amount over PKR 2,200,000 |
| 3,200,000 – 4,100,000 | PKR 346,000 + 30.0% on amount over PKR 3,200,000 |
| Above 4,100,000 | PKR 616,000 + 35.0% on amount over PKR 4,100,000 |
Tax Year 2025
Jul 2024 – Jun 2025 · Finance Act 2024| Annual taxable income (PKR) | Rate of tax |
|---|---|
| Up to 600,000 | 0% (no tax) |
| 600,000 – 1,200,000 | 5.0% on amount over PKR 600,000 |
| 1,200,000 – 2,200,000 | PKR 30,000 + 15.0% on amount over PKR 1,200,000 |
| 2,200,000 – 3,200,000 | PKR 180,000 + 25.0% on amount over PKR 2,200,000 |
| 3,200,000 – 4,100,000 | PKR 430,000 + 30.0% on amount over PKR 3,200,000 |
| Above 4,100,000 | PKR 700,000 + 35.0% on amount over PKR 4,100,000 |
Tax Year 2024
Jul 2023 – Jun 2024 · Finance Act 2023| Annual taxable income (PKR) | Rate of tax |
|---|---|
| Up to 600,000 | 0% (no tax) |
| 600,000 – 1,200,000 | 2.5% on amount over PKR 600,000 |
| 1,200,000 – 2,400,000 | PKR 15,000 + 12.5% on amount over PKR 1,200,000 |
| 2,400,000 – 3,600,000 | PKR 165,000 + 22.5% on amount over PKR 2,400,000 |
| 3,600,000 – 6,000,000 | PKR 435,000 + 27.5% on amount over PKR 3,600,000 |
| Above 6,000,000 | PKR 1,095,000 + 35.0% on amount over PKR 6,000,000 |
Tax Year 2023
Jul 2022 – Jun 2023 · Finance Act 2022| Annual taxable income (PKR) | Rate of tax |
|---|---|
| Up to 600,000 | 0% (no tax) |
| 600,000 – 1,200,000 | 2.5% on amount over PKR 600,000 |
| 1,200,000 – 2,400,000 | PKR 15,000 + 12.5% on amount over PKR 1,200,000 |
| 2,400,000 – 3,600,000 | PKR 165,000 + 22.5% on amount over PKR 2,400,000 |
| 3,600,000 – 6,000,000 | PKR 435,000 + 27.5% on amount over PKR 3,600,000 |
| Above 6,000,000 | PKR 1,095,000 + 35.0% on amount over PKR 6,000,000 |
Tax Year 2022
Jul 2021 – Jun 2022 · Finance Act 2021| Annual taxable income (PKR) | Rate of tax |
|---|---|
| Up to 600,000 | 0% (no tax) |
| 600,000 – 1,200,000 | 5.0% on amount over PKR 600,000 |
| 1,200,000 – 1,800,000 | PKR 30,000 + 10.0% on amount over PKR 1,200,000 |
| 1,800,000 – 2,500,000 | PKR 90,000 + 15.0% on amount over PKR 1,800,000 |
| 2,500,000 – 3,500,000 | PKR 195,000 + 17.5% on amount over PKR 2,500,000 |
| 3,500,000 – 5,000,000 | PKR 370,000 + 20.0% on amount over PKR 3,500,000 |
| 5,000,000 – 8,000,000 | PKR 670,000 + 22.5% on amount over PKR 5,000,000 |
| 8,000,000 – 12,000,000 | PKR 1,345,000 + 25.0% on amount over PKR 8,000,000 |
| 12,000,000 – 30,000,000 | PKR 2,345,000 + 27.5% on amount over PKR 12,000,000 |
| Above 30,000,000 | PKR 7,295,000 + 32.5% on amount over PKR 30,000,000 |
Related Pakistan tax resources
Going beyond the calculator? These pages cover the full filing process and FBR enforcement context.
Complete IRIS filing, wealth statement, ATL maintenance, and FBR notice handling for individuals and businesses.
Step-by-step walkthrough of filing your Pakistan income tax return — deadlines, slabs, documents, IRIS portal.
What the FBR can do if you don't file on time — penalties, notices, and enforcement powers under the Income Tax Ordinance.
Why staying on the FBR's ATL saves thousands in withholding tax across banking, property, and vehicle transactions.
Need help filing your Pakistan tax return?
Our ACCA-led team handles the full FBR filing flow — IRIS submission, wealth statement, and notice handling.
Book a Free Consultation