Free Tool
Pakistan Income Tax Calculator
Calculate your FBR income tax in seconds — salaried or business/AOP, updated for Tax Year 2026-27 under the Finance Act 2026. See exactly how much tax applies at every slab.
Monthly tax
Rs 500
Annual tax
Rs 6,000
Take-home / month
Rs 99,500
Take-home / year
Rs 1,194,000
Effective tax rate
0.5%
Marginal tax rate
1%
Surcharge included
None
Bracket-by-bracket breakdown
| Income slab | Rate | Tax in this slab |
|---|---|---|
| Up to Rs 600,000 | 0% | Rs 0 |
| Rs 600,001 – Rs 1,200,000 | 1% | Rs 6,000 |
Reference
Tax Year 2026-27 (current, Finance Act 2026) slab rates
These are the official FBR income tax slabs currently in effect, as amended by the Finance Act 2026. Rates apply progressively — only the income inside each bracket is taxed at that bracket's rate.
Salaried individuals
| Taxable income | Tax rate |
|---|---|
| Up to Rs 600,000 | 0% |
| Rs 600,001 – Rs 1,200,000 | 1% |
| Rs 1,200,001 – Rs 2,200,000 | Rs 6,000 + 11% |
| Rs 2,200,001 – Rs 3,200,000 | Rs 116,000 + 20% |
| Rs 3,200,001 – Rs 4,100,000 | Rs 316,000 + 25% |
| Rs 4,100,001 – Rs 5,600,000 | Rs 541,000 + 29% |
| Rs 5,600,001 – Rs 7,000,000 | Rs 976,000 + 32% |
| Above Rs 7,000,000 | Rs 1,424,000 + 35% |
Business individuals & AOPs
| Taxable income | Tax rate |
|---|---|
| Up to Rs 600,000 | 0% |
| Rs 600,001 – Rs 1,200,000 | 15% |
| Rs 1,200,001 – Rs 1,600,000 | Rs 90,000 + 20% |
| Rs 1,600,001 – Rs 3,200,000 | Rs 170,000 + 30% |
| Rs 3,200,001 – Rs 5,600,000 | Rs 650,000 + 40% |
| Above Rs 5,600,000 | Rs 1,610,000 + 45% |
Surcharge: business individuals and AOPs with taxable income above Rs 10,000,000 pay an additional 10% surcharge on their income tax. This surcharge has been abolished for salaried individuals for Tax Year 2026-27.
FAQ
Common questions
How much income tax will I pay on a salary of Rs 100,000 per month in Pakistan (2026-27)?+
Under the Finance Act 2026 slabs for Tax Year 2026-27, a salaried individual earning Rs 100,000 a month (Rs 1,200,000 a year) falls in the 1% bracket above the Rs 600,000 exemption threshold, paying Rs 6,000 a year — about Rs 500 a month — in income tax.
What is the income tax exemption threshold in Pakistan?+
For both salaried and business individuals, annual taxable income up to Rs 600,000 is exempt from income tax (0% rate) in Tax Year 2026-27, as in recent prior years.
What is the difference between salaried and business/AOP tax rates?+
Salaried individuals are taxed on a gentler scale, from 1% up to a top rate of 35% above Rs 7,000,000. Business individuals and Associations of Persons (AOPs) are taxed more steeply, starting at 15% above Rs 600,000 and reaching a top rate of 45% above Rs 5,600,000.
Is there a surcharge on high income earners in Pakistan?+
For Tax Year 2026-27, the surcharge on salaried individuals with taxable income above Rs 10,000,000 has been abolished under the Finance Act 2026. Business individuals and AOPs with taxable income above Rs 10,000,000 still pay a 10% surcharge on their income tax liability.
Does this calculator account for tax credits, Zakat, or provident fund deductions?+
No. This calculator applies the standard FBR income tax slab rates to your taxable income only. It does not account for tax credits, exemptions, Zakat deductions, provident fund contributions, or withholding tax already deducted — for a return-ready computation, consult a tax advisor.
How is income tax calculated — on my whole income or just the amount above each threshold?+
Pakistan uses a progressive slab system. Only the portion of your income that falls inside a given bracket is taxed at that bracket's rate — not your entire income. This calculator's bracket breakdown shows exactly how much tax applies at each slab.
Disclaimer & sources
This calculator applies standard FBR income tax slab rates for illustration only. It does not account for tax credits, exemptions, Zakat, withholding tax already paid, or return-specific adjustments. For a computation you can rely on for filing, speak with our team.
Rates sourced from the Federal Board of Revenue: Finance Act 2026, FBR Withholding Tax Rate Card, and fbr.gov.pk.
Talk to a tax advisor