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SALARY TAX CALCULATOR
PAKISTAN 2026-27

FBR income tax for salaried individuals — FY 2026-27 (Finance Act 2026). Enter your monthly gross salary to see your real-time tax, effective rate, and take-home pay.

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FBR Income Tax Slabs for Salaried Individuals — FY 2026–27 (Current)

Pakistan follows a progressive income tax system. Your annual salary is divided into brackets (slabs), and each bracket is taxed at a different rate. The table below shows the official FBR tax slabs under the Finance Act 2026.

Annual Income (PKR)Tax RateFixed Tax
Rs. 0Rs. 600,0000% (Nil)
Rs. 600,001Rs. 1,200,0001%
Rs. 1,200,001Rs. 2,200,00011%Rs. 6,000
Rs. 2,200,001Rs. 3,200,00020%Rs. 116,000
Rs. 3,200,001Rs. 4,100,00025%Rs. 316,000
Rs. 4,100,001Rs. 5,600,00029%Rs. 541,000
Rs. 5,600,001Rs. 7,000,00032%Rs. 976,000
Rs. 7,000,001and above35%Rs. 1,424,000

* No surcharge applies for FY 2026-27 — the government has eliminated the additional tax surcharge this year.
* EOBI (1% of provincial minimum wage) is a separate mandatory deduction not included in the above tax calculation.

Example Tax Calculations for Common Salaries

See estimated monthly tax and take-home pay for different salary levels (filer, no optional deductions).

Rs. 50,000/month

Annual Income: Rs. 600,000

Monthly Tax: Rs. 0

Take-Home: Rs. 49,600

Eff. rate: 0.00% | Marginal: 0%

Rs. 100,000/month

Annual Income: Rs. 1,200,000

Monthly Tax: Rs. 500

Take-Home: Rs. 99,100

Eff. rate: 0.50% | Marginal: 1%

Rs. 200,000/month

Annual Income: Rs. 2,400,000

Monthly Tax: Rs. 13,000

Take-Home: Rs. 186,600

Eff. rate: 6.50% | Marginal: 20%

Rs. 500,000/month

Annual Income: Rs. 6,000,000

Monthly Tax: Rs. 92,000

Take-Home: Rs. 407,600

Eff. rate: 18.40% | Marginal: 32%

Rs. 1,000,000/month

Annual Income: Rs. 12,000,000

Monthly Tax: Rs. 264,500

Take-Home: Rs. 735,100

Eff. rate: 26.45% | Marginal: 35%

Frequently Asked Questions

How is income tax calculated on salary in Pakistan?

FBR uses a progressive slab system for salaried individuals. Your total annual salary is divided into income brackets (slabs), and each bracket is taxed at a different rate. The more you earn, the higher the rate on the portion of income falling in each bracket. The calculator above automates this for you — just enter your monthly gross salary.

What is the tax-free income limit for FY 2026-27?

For the tax year 2026-27, the first Rs. 600,000 of annual income is completely tax-free for salaried individuals. This means if your annual salary is up to Rs. 600,000 (Rs. 50,000/month), you pay zero income tax.

What are the FBR tax slabs for salaried persons in 2026-27?

For FY 2026-27, Pakistan has 8 tax slabs. The rates start at 0% for income up to Rs. 600,000 and go up to 35% for income above Rs. 7,000,000. The government has eliminated the additional surcharge this year, providing further relief to salaried taxpayers. See the full slab table in the section below.

How is EOBI deducted from salary?

EOBI (Employees' Old-Age Benefits Institution) is deducted at 1% of the provincial minimum wage. The minimum wage varies by province — typically Rs. 37,000–40,000/month. The monthly EOBI contribution is usually around Rs. 370–400, which is a very small deduction.

Is there still a surcharge on income tax in 2026-27?

For FY 2026-27, the government has completely eliminated the additional surcharge on income tax. In the previous budget it was reduced from 10% to 9%, and now it has been brought down to 0%. This means salaried individuals no longer pay any extra surcharge regardless of their income level — a meaningful relief for higher earners.

What medical and conveyance exemptions are available?

Medical allowance is exempt up to the lower of: 10% of your basic salary or Rs. 10,000 per month. Conveyance allowance is exempt up to Rs. 50,000 per year (approx. Rs. 4,167/month). These exemptions only apply if the allowances are separately shown in your salary slip.

What is the difference between a filer and non-filer?

A filer has filed their annual income tax return with FBR and is taxed at the standard slab rates shown in this calculator. Non-filers face higher withholding tax rates on certain transactions and may be subject to different tax treatment. This calculator shows rates for filers.

How does the provident fund affect take-home salary?

Provident Fund (PF) is a voluntary retirement savings contribution, typically 8.33% of gross salary. It reduces your monthly take-home pay, but the amount is saved for you and can be withdrawn at retirement or resignation. Many employers match your PF contribution as a benefit.

Disclaimer

This calculator provides estimates based on the FBR Income Tax Ordinance (Finance Act 2026, FY 2026-27) for salaried individuals. Actual tax liability may vary based on your specific circumstances, filing status, and additional income sources. Consult a qualified tax professional for personalized advice. The EOBI deduction shown is the employee's share (1% of provincial minimum wage). Provident Fund contributions are optional and employer-dependent.