New Tax Slabs (FY 2025-26) for Salaried Individuals

Here are the salary tax slabs in Pakistan under the Finance Act 2025-26 (i.e. for tax year 2025-26) for salaried individuals, plus a worked example. Let me know if you want one for monthly salaries.

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🔍 New Tax Slabs (FY 2025-26) for Salaried Individuals

Annual Taxable Income (PKR)	Tax Payable / Rate
Up to 600,000	0%
600,001 – 1,200,000	1% of the amount exceeding 600,000
1,200,001 – 2,200,000	6,000 + 11% of the amount exceeding 1,200,000
2,200,001 – 3,200,000	116,000 + 23% of the amount exceeding 2,200,000
3,200,001 – 4,100,000	346,000 + 30% of the amount exceeding 3,200,000
Over 4,100,000	616,000 + 35% of the amount exceeding 4,100,000

Also a surcharge of 9% applies for salaried persons whose taxable income exceeds PKR 10,000,000. 

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⚙️ Example Calculation

Let’s say someone has a salary-income (taxable) of PKR 3,500,000 for the year 2025-26. What’s the tax?

1. Identify applicable slab: PKR 3,500,000 falls in the 3,200,001 – 4,100,000 slab.

2. According to that slab:

   $$\text{Base tax} = 346,000 \;+\; 30\% \times (\text{amount} - 3,200,000)$$

3. Excess over 3,200,000 = 3,500,000 − 3,200,000 = 300,000.

4. 30% of 300,000 = 90,000.

5. Total tax = 346,000 + 90,000 = PKR 436,000.

If his income exceeded PKR 10,000,000, then after calculating the tax above, also add 9% surcharge on that tax amount.