About the Pakistan Salary Tax Calculator
This Pakistan salary tax calculator applies the income tax slabs for salaried individuals to your pay and shows the tax your employer should withhold each month, your yearly liability, your take-home salary and your effective and marginal rates. You can enter either a monthly or an annual taxable salary.
It is meant for salaried employees checking their payslip deduction, comparing job offers, or seeing how much of a raise they keep. The slab table underneath shows exactly which band your income falls into and how the fixed amount plus percentage is applied.
Tax year 2027 (1 July 2026 to 30 June 2027) uses the Finance Act 2026 table: 0% up to Rs 600,000, then 1%, 11%, 20%, 25%, 29%, 32% and 35% above Rs 7 million, with no surcharge on salaried individuals. Tax year 2026 uses the Finance Act 2025 slabs and the 9% surcharge on income above Rs 10 million. These rates apply when salary is more than 75% of your taxable income; enter taxable salary after exempt allowances such as the medical allowance.
With the default inputs, the monthly income tax is Rs 23,000.00. Change any value above to recalculate instantly.
How to use the pakistan salary tax calculator
- 1Enter your taxable salary (gross salary minus exempt allowances).
- 2Choose whether the figure is monthly or annual.
- 3Pick the tax year — 2027 covers July 2026 to June 2027.
- 4Read the monthly tax your employer should deduct and your take-home pay.
- 5Check the slab table to see which band you are in.
Formula and method
Pakistan taxes salaried individuals with a slab table in which each slab has a fixed amount plus a percentage of income above the slab’s lower limit. Find the slab containing your annual taxable salary, multiply the excess over its lower limit by the slab rate and add the fixed amount. Employers withhold one-twelfth of the projected annual tax from each month’s salary under section 149.
For tax year 2026 a surcharge of 9% of the tax applied to salaried individuals with taxable income above Rs 10 million; the Finance Act 2026 abolished it for salaried persons from tax year 2027. These salaried slabs apply only when salary exceeds 75% of total taxable income; otherwise the higher rates for business individuals are used.
- Income
- Annual taxable salary after exempt allowances
- Fixed amount
- Tax on all income below the slab’s lower limit
- Rate
- Percentage charged on income within the slab
Worked examples
Rs 250,000 a month, tax year 2027
Annual salary is Rs 3,000,000, in the Rs 2.2–3.2 million slab: Rs 116,000 + 20% × Rs 800,000 = Rs 276,000 a year, or Rs 23,000 a month. Take-home pay is Rs 227,000 a month and the effective rate is 9.2%.
Rs 100,000 a month, tax year 2027
Rs 1,200,000 a year is at the top of the 1% slab: 1% of the Rs 600,000 above the tax-free threshold is Rs 6,000 a year, or Rs 500 a month.
Rs 12 million a year, tax year 2026 (with surcharge)
Under the tax year 2026 slabs, tax is Rs 616,000 + 35% × Rs 7,900,000 = Rs 3,381,000. Because income exceeds Rs 10 million, a 9% surcharge of Rs 304,290 is added, for a total of Rs 3,685,290 — about Rs 307,108 a month.
Frequently asked questions
What are the salary tax slabs for 2026-27 in Pakistan?+
For tax year 2027: 0% up to Rs 600,000; 1% above that to Rs 1.2 million; Rs 6,000 + 11% to Rs 2.2 million; Rs 116,000 + 20% to Rs 3.2 million; Rs 316,000 + 25% to Rs 4.1 million; Rs 541,000 + 29% to Rs 5.6 million; Rs 976,000 + 32% to Rs 7 million; and Rs 1,424,000 + 35% above.
Is there a surcharge on salaried income in 2026-27?+
No. The Finance Act 2026 amended section 4AB so that no surcharge is payable by individuals deriving salary income. In tax year 2026 salaried individuals with income above Rs 10 million paid a 9% surcharge on their income tax.
How much salary is tax-free in Pakistan?+
Annual taxable salary up to Rs 600,000 (Rs 50,000 a month) is taxed at 0%. Allowances that are exempt under the Second Schedule of the Income Tax Ordinance should be left out of taxable salary before using the slabs.
Who counts as a salaried individual for these rates?+
You qualify for the salaried slabs when income chargeable under the head "Salary" is more than 75% of your total taxable income. If business, rental or other income makes up more than 25%, the non-salaried rates apply instead.
How is monthly tax deducted from salary?+
Under section 149 your employer estimates your annual taxable salary, calculates tax using the slabs and deducts it evenly over the remaining months of the tax year, adjusting for any raises, bonuses or tax already deducted.
Do I still need to file a tax return?+
Yes, in most cases. Salaried individuals with taxable income above Rs 600,000 must file an annual return and wealth statement with the FBR through IRIS. Filing also keeps you on the Active Taxpayers List, which lowers withholding on many transactions.
Tax results are estimates based on published rules and simplified assumptions. They are not tax advice — check official guidance or a tax professional for your situation.