Salary tax calculator 2026-27
This uses the salaried slabs in the Finance Act 2026 for 1 July 2026 to 30 June 2027. It applies when salary is more than 75% of your taxable income. It is not an FBR assessment.
Salaried slabs, 1 July 2026 to 30 June 2027
| Annual taxable salary | Tax |
|---|---|
| Up to Rs 600,000 | 0% |
| Rs 600,001 to 1,200,000 | 1% of the amount over Rs 600,000 |
| Rs 1,200,001 to 2,200,000 | Rs 6,000 + 11% of the amount over Rs 1,200,000 |
| Rs 2,200,001 to 3,200,000 | Rs 116,000 + 20% of the amount over Rs 2,200,000 |
| Rs 3,200,001 to 4,100,000 | Rs 316,000 + 25% of the amount over Rs 3,200,000 |
| Rs 4,100,001 to 5,600,000 | Rs 541,000 + 29% of the amount over Rs 4,100,000 |
| Rs 5,600,001 to 7,000,000 | Rs 976,000 + 32% of the amount over Rs 5,600,000 |
| Above Rs 7,000,000 | Rs 1,424,000 + 35% of the amount over Rs 7,000,000 |
You are in this table only if salary is more than 75% of taxable income. The Finance Act 2026 cut some middle rates and moved the 35% band from Rs 4.1 million to above Rs 7 million. The extra surcharge on high salaried income was removed. Medical reimbursements and some allowances can be exempt. Confirm the current card at FBR. Freelancers should read work from home and not use this table for business income.
Questions
How much salary is tax-free in Pakistan in 2026-27?
For a salaried individual, annual taxable salary up to Rs 600,000 is taxed at 0% under the Finance Act 2026. That is Rs 50,000 a month if the salary is the same every month and no other taxable amount is added.
What is the highest salary tax rate?
35% applies to taxable salary above Rs 7,000,000 a year. The Finance Act 2026 also removed the extra surcharge that salaried individuals previously paid on very high salary income.
Do freelancers use this table?
No. These slabs are for people whose salary is more than 75% of taxable income. Business and freelance income follows the non-salaried schedule. Ask a tax practitioner or read the current FBR rate card before you file.
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Figures follow public notifications as reviewed on 11 November 2026. A later gazette, a provincial notification, or your appointment letter overrides this page. These tools are not legal, tax, or financial advice.