Pakistan tax calculator.
The Finance Act 2026 salaried schedule runs from 0% up to PKR 600,000 to a 35% marginal rate above PKR 7 million. The calculator expects taxable income, not gross salary.
Modeled slab tax under two schedules.
The chart applies the two salaried slab tables to the same taxable-income inputs. It excludes credits, exemptions, other income, employer payroll treatment and return-level adjustments.
How income tax works in Pakistan
Pakistan taxes income through a progressive slab system. Every band carries a fixed amount accumulated below it plus a marginal rate on the portion above that band's lower boundary. Separate provisions such as a surcharge can still change the final liability, which is why this page shows them independently.
Who you are matters too. Salaried individuals, where salary is more than 75% of taxable income, sit on one scale. Non-salaried individuals and Associations of Persons (AOPs) sit on a separate, steeper one. That second group includes sole proprietors, freelancers billing locally, and partnership firms.
| Annual taxable income | Salaried (FY2026-27) | Non-salaried / AOP |
|---|---|---|
| Up to Rs 600,000 | 0% | 0% |
| Rs 600,001 - 1,200,000 | 1% | 15% |
| Rs 1,200,001 - 1,600,000 | 11% | 20% |
| Rs 1,600,001 - 2,200,000 | 11% | 30% |
| Rs 2,200,001 - 3,200,000 | 20% | 30% |
| Rs 3,200,001 - 4,100,000 | 25% | 40% |
| Rs 4,100,001 - 5,600,000 | 29% | 40% |
| Rs 5,600,001 - 7,000,000 | 32% | 45% |
| Above Rs 7,000,000 | 35% | 45% |
The salaried FY2026-27 rates are enacted law, effective 1 July 2026 under Finance Act 2026. The table shows marginal rates; the calculator applies the fixed-amount-plus-marginal-rate arithmetic for each slab. A 10% surcharge on the tax applies to non-salaried taxpayers and AOPs whose income exceeds Rs 10 million. The equivalent salaried surcharge was abolished for FY2026-27. See the source-checked Finance Act 2026 investor breakdown.
What the sales-tax arithmetic does
The second tab does not decide which tax applies to a transaction. It only adds a percentage to a tax-exclusive amount or extracts that percentage from a tax-inclusive amount. The prefilled 18% is the federal standard rate for many goods, but exemptions, reduced rates, schedules and provincial service rules can produce a different result. Replace it with the rate shown on the applicable law or invoice.
Business, remittances and foreign income
Business income for a sole proprietor or partnership is taxed on the non-salaried/AOP scale above, after deducting allowable business expenses to arrive at taxable profit. A company (a registered limited entity) is taxed differently again, under the corporate regime rather than these individual slabs.
Foreign remittances and foreign-source income depend on the remittance channel, source, residency and the current Income Tax Ordinance. Keep bank documentation and verify Section 111 and any applicable return obligations rather than relying on a single threshold. For overseas Pakistanis investing back home, the overseas investor guide links to current SBP and FBR documents.
ATL status and withholding rates
FBR withholding rates vary by transaction, recipient and Active Taxpayer List status; there is no reliable site-wide multiplier. Check your ATL status and use FBR's Tax Year 2027 withholding rate card for the relevant section. The ATL guide links to FBR's registration, filing and status-check pages.
Frequently asked questions
What figure should I enter?
Does the highest rate apply to all income?
Is the monthly result a payroll figure?
Where does the sales-tax rate come from?
Is this an official FBR calculator?
Primary sources
Finance Act 2026 for the enacted salaried schedule; current Income Tax Ordinance for the consolidated law; and the Tax Year 2027 withholding rate card for transaction-specific rates.