Salary Tax Slabs Pakistan 2025-26
The complete FBR bracket table for salaried, AOP, and freelancer income for FY 2025-26.
Salaried tax slabs (2025-26)
Applies when salary is more than 75% of total income. The Finance Act 2025 introduced significant relief for salaried individuals, particularly those in the 600k–1.2M bracket where the rate dropped from 5% to 1%.
| Annual income (PKR) | Rate on amount in this slab | Fixed tax for lower slabs |
|---|---|---|
| 0 – 600,000 | Tax free (0%) | — |
| 600,000 – 1,200,000 | 1% | — |
| 1,200,000 – 2,200,000 | 11% | 6,000 |
| 2,200,000 – 3,200,000 | 23% | 116,000 |
| 3,200,000 – 4,100,000 | 30% | 346,000 |
| Above 4,100,000 | 35% | 616,000 |
Plus a 9% surcharge on calculated tax if your annual taxable income exceeds 10,000,000.
AOP & non-salaried tax slabs (2025-26)
Applies to associations of persons, partnerships, sole proprietors, and individuals whose salary is less than 75% of total income.
| Annual income (PKR) | Rate on amount in this slab | Fixed tax for lower slabs |
|---|---|---|
| 0 – 600,000 | Tax free (0%) | — |
| 600,000 – 1,200,000 | 15% | — |
| 1,200,000 – 1,600,000 | 20% | 90,000 |
| 1,600,000 – 3,200,000 | 30% | 170,000 |
| 3,200,000 – 5,600,000 | 40% | 650,000 |
| Above 5,600,000 | 45% | 1,610,000 |
Plus a 10% surcharge on calculated tax if income exceeds 10,000,000. Open AOP calculator →
Freelancer / IT export rates (Section 154A)
Section 154A · IT/IT-enabled services export. Income via banking channels (Wise, Payoneer→local bank, direct wire). At least 80% converted to PKR. Bank issues PRC. PSEB registration via TechDestination · ₨1,000 fee · annual renewal.
Salary tax slab FAQs
What are the salary tax slabs in Pakistan for 2025-26?
For salaried individuals: 0% up to PKR 600,000; 1% on 600k–1.2M; 11% on 1.2M–2.2M; 23% on 2.2M–3.2M; 30% on 3.2M–4.1M; 35% above 4.1M. A 9% surcharge applies if total taxable income exceeds PKR 10 million.
Have salary tax slabs changed from 2024-25 to 2025-26?
Yes. The Finance Act 2025 lowered the entry-bracket rate from 5% to 1% on income between PKR 600,000 and 1.2 million, and reduced the high-income surcharge from 10% to 9% for salaried individuals. AOP/non-salaried slabs remain unchanged.
What is the tax-free salary limit in Pakistan?
PKR 600,000 per year (PKR 50,000 per month) for salaried individuals. This basic exemption has been unchanged since 2022-23 and applies to all three tax years currently supported by FBR.
Are AOP and salaried tax slabs the same?
No. AOP / non-salaried individuals face significantly higher rates: 15% above PKR 600k (vs 1% for salaried), rising to 45% above PKR 5.6M (vs 35% above 4.1M for salaried).
How is the 9% surcharge applied?
The surcharge is calculated on your computed income tax (not on income). If your salaried tax for the year is PKR 1,000,000 and income exceeds 10M, you pay an extra PKR 90,000 on top, totalling PKR 1,090,000.
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