Pakistan salary tax
Pakistan salary tax calculator
Work out your income tax and take-home pay from the FBR slabs for tax year 2027, which runs from July 2026 to June 2027. The rates come from the Finance Act 2026.
Annual taxable salary: Rs 1,800,000
Monthly take-home
Rs 144,000
Monthly tax: Rs 6,000
On a monthly salary of Rs 150,000.
How the calculation works
Pakistan taxes salary income in slabs. Each slab charges a fixed amount plus a percentage of the income above the lower limit of that slab. The calculator applies the slab table in Division I of Part I of the First Schedule to the Income Tax Ordinance, 2001, as amended by the Finance Act 2026.
The salary slab table applies when salary is more than 75 percent of your taxable income. This calculator assumes your income is salary only, so that condition holds. Other income, tax credits, and exemptions are not included.
Rates used
| Taxable income, PKR | Tax |
|---|---|
| Up to 600,000 | 0 |
| 600,001 to 1,200,000 | 1% of the amount above 600,000 |
| 1,200,001 to 2,200,000 | 6,000 + 11% of the amount above 1,200,000 |
| 2,200,001 to 3,200,000 | 116,000 + 20% of the amount above 2,200,000 |
| 3,200,001 to 4,100,000 | 316,000 + 25% of the amount above 3,200,000 |
| 4,100,001 to 5,600,000 | 541,000 + 29% of the amount above 4,100,000 |
| 5,600,001 to 7,000,000 | 976,000 + 32% of the amount above 5,600,000 |
| Above 7,000,000 | 1,424,000 + 35% of the amount above 7,000,000 |
The 9 percent surcharge under section 4AB was withdrawn for salary income from tax year 2027. It still applies to non-salaried income above Rs 10 million.
Worked example
Rs 150,000 a month, which is Rs 1,800,000 a year.
The income falls in the 11 percent slab. Tax is Rs 6,000 plus 11 percent of the Rs 600,000 above Rs 1,200,000.
11 percent of 600,000 is Rs 66,000. Add the fixed Rs 6,000 and the annual tax is Rs 72,000.
That is Rs 6,000 a month, and the monthly take-home is Rs 144,000.
Questions
Which tax year does this use?
Tax year 2027, which covers income from 1 July 2026 to 30 June 2027. The rates were set by the Finance Act 2026 and apply from 1 July 2026.
Does the calculator include allowances?
Enter your taxable salary as your employer reports it. Some allowances are exempt up to a limit, and the calculator does not apply those exemptions. Enter the taxable figure after any exemption your employer applies.
Is there a surcharge above Rs 10 million?
Not on salary. The Finance Act 2026 withdrew the section 4AB surcharge for income chargeable as salary. A 10 percent surcharge still applies to non-salaried individuals and associations of persons above Rs 10 million.
Why is my payslip deduction different?
Your employer deducts tax under section 149 using the same slabs, but may also account for exemptions, prior adjustments, or other income you declared. A provident fund or gratuity contribution can change the taxable figure too.
Do freelancers use this calculator?
No. Freelancers and other non-salaried individuals are taxed under a different table with rates up to 45 percent for income above Rs 5.6 million. This page covers salary only.
Is this tax advice?
No. It is an estimate for planning. For a return or a dispute, use the FBR rules, a tax practitioner, or the Iris portal.
Sources
- FBR withholding tax rate card for tax year 2027, Finance Act 2026
- FBR Finance Bill 2026-27
- PwC Pakistan, taxes on personal income
Dot & Halo
Free tools, checked against the FBR rate card. No account and no sign-up.
Last checked 25 October 2026. This is an estimate, not tax advice. Rates change with each Finance Act.