What is the difference between salaried and non-salaried tax rates in Pakistan?

Individuals whose salary constitutes more than 75% of their total taxable income qualify for salaried tax slabs, which carry lower initial tax rates than business/non-salaried individuals.

Pakistan•Tax Year 2026-27

Pakistan Income Tax Calculator

Calculate income tax in Pakistan for salaried and non-salaried business individuals under Tax Year 2026-27 FBR schedules.

Schedule 2026-27

Input Parameters

Monthly Gross Income₨150,000.00

₨

Calculation Period

Estimated Annual Take-Home

₨150,000.00

Effective Rate0%

Take-Home Pay:100.0%

Monthly Net₨12,500.00

Total Tax₨0.00

Monthly Tax₨0.00

Weekly Net₨0.00

Tax Slabs Breakdown (2026-27)

Bracket	Taxable	Rate	Tax
Up to PKR 600,000	₨150,000.00	0%	₨0.00
PKR 600,001 - 1,200,000	₨0.00	1%	₨0.00
PKR 1,200,001 - 2,200,000	₨0.00	11%	₨0.00
PKR 2,200,001 - 3,200,000	₨0.00	20%	₨0.00
PKR 3,200,001 - 4,100,000	₨0.00	25%	₨0.00
PKR 4,100,001 - 5,600,000	₨0.00	29%	₨0.00
PKR 5,600,001 - 7,000,000	₨0.00	32%	₨0.00
Above PKR 7,000,000	₨0.00	35%	₨0.00

Frequently Asked Questions (Pakistan)

Income tax starts at 0% up to PKR 600k, 1% on PKR 600k–1.2M, 11% on PKR 1.2M–2.2M, 20% on PKR 2.2M–3.2M, 25% on PKR 3.2M–4.1M, 29% on PKR 4.1M–5.6M, 32% on PKR 5.6M–7.0M, and 35% on income above PKR 7 Million.

Calculation Methodology & Legislation

How Your Calculation Works (Pakistan • 2026-27)

This calculation tool operates strictly in accordance with statutory tax brackets and financial schedules published by Federal Board of Revenue (FBR) for the 2026-27 fiscal tax year (Pakistan Finance Act 2025/2026).

Applies statutory FBR tax slabs for salaried and non-salaried individual taxpayers with bracket breakdowns and effective tax rate calculations.

Core Mathematical FormulaStatutory 2026-27

Net Salary = Gross Salary − Progressive Slabs Tax (5%–35%) + Applicable High-Income Surcharges

Statutory Allowances & Deductions

Basic Personal Allowance / Exemption

FBR provides a 0% tax threshold on annual salary income up to PKR 600,000 (PKR 50,000 per month).

Reliefs & Allowable Deductions

Medical allowance exemptions (up to 10% of basic salary) and approved charitable contributions reduce taxable salary under FBR rules.

Statutory Authority Verified (2026-27)Audited against published schedules from Federal Board of Revenue (FBR).

fbr.gov.pk

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