Calculate individual monthly salary tax deduction, annual liability and net take-home salary in Pakistan for Tax Year 2026 using the FBR-based salaried individual income tax slabs.
Salary Tax Calculator 2026
Monthly Breakdown
Annual Breakdown
Salary Income Tax Slab Rate 2026
The following table shows the individual salaried income tax slab rate for the tax period 2026.
| Slab | Annual Taxable Income Range (PKR) | Statutory Rate of Tax & Final Computation Formula |
|---|---|---|
| 1 | Up to 600,000 | 0% (Completely Tax-Exempt) |
| 2 | 600,001 to 1,200,000 | 1% of the amount exceeding 600,000 |
| 3 | 1,200,001 to 2,200,000 | PKR 6,000 + 11% of the amount exceeding 1,200,000 |
| 4 | 2,200,001 to 3,200,000 | PKR 116,000 + 23% of the amount exceeding 2,200,000 |
| 5 | 3,200,001 to 4,100,000 | PKR 346,000 + 30% of the amount exceeding 3,200,000 |
| 6 | Above 4,100,000 | PKR 616,000 + 35% of the amount exceeding 4,100,000 |
How to Calculate Income Tax on Salary in Pakistan
Income tax on individual salary is calculated on an annual basis. This income tax calculator in Pakistan is based on the FBR tax slab rates for the financial year 2026.
Enter your monthly salary amount and select frequency month or year basis. After than click on “Calculate Tax” button to check your total monthly and yearly tax deduction.
The result will break down your gross monthly income in line FBR tax slab rate deduction criteria and your final take-home income on both month and year basis.
How to Calculate Income Tax for a Salaried Person (with Example)
The practical example to calculate income tax for individual salaried person comprises the monthly gross income of PKR 150,000 with no extra deductions.
Step 1 Annualize the Income
Annual Salary = 150,000 x 12 = PKR 1,800,000
Step 2 Identify the Tax Slab
Annual income of PKR 1,800,000 is assumed within Slab 3 (Incomes exceeding PKR 1,200,000 but not exceeding PKR 2,200,000). The formula for this slab is:
PKR 6,000 fixed tax + 11% of the amount exceeding PKR 1,200,000
Step 3 Calculation
Excess Income = 1,800,000 – 1,200,000 = PKR 600,000
Percentage Tax = 600,000 x 11% = PKR 66,000
Total Annual Tax = 6,000 + 66,000 = PKR 72,000
Step 4 Monthly Pay Deduction
Monthly Tax Withholding = 72,000 / 12 = PKR 6,000 / month
Net Take-Home Salary = 150,000 – 6,000 = PKR 144,000
How to Calculate Salary After an Annual Increment for Income Tax
The calculation of salary after an annual increment for income tax is important factor to calculate the updated projection because higher salary can change your slab rate into higher tax bracket.
Total Annual Pay = (Months Worked Before Increment × Old Monthly Salary) + (Remaining Months of Fiscal Year × New Monthly Salary)
For example, suppose you earn PKR 100,000 per month and receive an increment raising your salary to PKR 130,000 per month starting in January (6 months into the July–June fiscal year).
Calculate the Salary after Annual Income Increment
First 6 Months = 100,000 x 6 = PKR 600,000
Remaining 6 Months = 130,000 x 6 = PKR 780,000
New Total Annual Projected Salary = 600,000 + 780,000 = 1,380,000
Re-calculate Using the FBR Slabs
PKR 1,380,000 falls into Slab 3 (PKR 6,000 + 11% of the amount exceeding 1,200,000).
Tax Liability = 6,000 + [ (1380000 – 1200000) x 11%]
Tax Liability = 6,000 + [ 180000 x 0.11] = 6000 + 19800 = PKR 25800 per year
How to Calculate Gross Salary in Income Tax
According to the Section 12 of the Income Tax Ordinance, 2001 the calculation of Gross Salary covers total benefit employee receives during the job period before any tax or institutional deductions e.g., EOBI or provident funds are taken out.
Gross Salary = Basic Pay + Allowances + Bonuses / Commissions + Perquisites / Perks