Here’s a simplified guide on how to calculate income tax in Pakistan for both salaried and non-salaried individuals for Tax Year 2024–2025 (Assessment Year 2025), based on the latest available slabs under the FBR (Federal Board of Revenue).
🧮 How to Calculate Income Tax in Pakistan (2024–2025)
✅ Step 1: Identify Your Taxpayer Category
There are two main types of individual taxpayers:
-
Salaried Individuals (More than 75% of income from salary)
-
Non-Salaried Individuals (Businesspersons, freelancers, etc.)
✅ Step 2: Determine Your Annual Taxable Income
Calculate your annual taxable income after applicable deductions (like Zakat, donations, or investment allowances).
✅ Step 3: Apply the Relevant Tax Slab
📌 Salaried Individuals – Tax Slabs (2024–2025)
| Annual Taxable Income (PKR) | Tax Rate |
|---|---|
| Up to 600,000 | 0% |
| 600,001 – 1,200,000 | 2.5% of the amount exceeding 600,000 |
| 1,200,001 – 2,400,000 | 15,000 + 12.5% of the amount exceeding 1,200,000 |
| 2,400,001 – 3,600,000 | 165,000 + 20% of the amount exceeding 2,400,000 |
| 3,600,001 – 6,000,000 | 405,000 + 25% of the amount exceeding 3,600,000 |
| Over 6,000,000 | 1,005,000 + 35% of the amount exceeding 6,000,000 |
📌 Non-Salaried Individuals – Tax Slabs (2024–2025)
| Annual Taxable Income (PKR) | Tax Rate |
|---|---|
| Up to 600,000 | 0% |
| 600,001 – 1,200,000 | 5% of the amount exceeding 600,000 |
| 1,200,001 – 2,400,000 | 30,000 + 12.5% of the amount exceeding 1,200,000 |
| 2,400,001 – 3,600,000 | 180,000 + 20% of the amount exceeding 2,400,000 |
| 3,600,001 – 6,000,000 | 420,000 + 25% of the amount exceeding 3,600,000 |
| Over 6,000,000 | 1,020,000 + 35% of the amount exceeding 6,000,000 |
✅ Step 4: Calculate Your Tax
Example – Salaried Person
-
Annual income: PKR 2,000,000
-
Falls in 2nd slab
-
Tax = 15,000 + (12.5% × (2,000,000 – 1,200,000))
-
Tax = 15,000 + (12.5% × 800,000)
-
Tax = 15,000 + 100,000 = PKR 115,000
🛠️ Need Help with Tax Filing?
Let PakAdvisor or EzFile take care of your tax calculation and filing.