Salary tax in Pakistan is deducted at source by your employer every month, and the amount depends on your annual salary bracket under the Income Tax Ordinance. For Tax Year 2027 (FY 2026-27), the Finance Act 2026 introduced updated slabs: annual salaries up to Rs 600,000 remain tax-free, after which progressive rates apply from 1% up to 35% for the highest earners. The 9% surcharge on incomes above Rs 10 million was abolished, simplifying the calculation.
This free Pakistan salary tax calculator walks through each slab exactly the way payroll systems do. Enter either your monthly gross salary or your annual gross salary, and the tool converts it to an annual figure, applies the slab rates step by step, and shows you the annual tax, the monthly deduction, your effective tax rate, and your monthly take-home pay. You also get a slab-by-slab breakdown table so you can see precisely how much of your income falls into each bracket and how much tax each bracket contributes.
Use it to verify your employer's deduction on your payslip, to compare the cost of a salary raise (for example, how much of a Rs 20,000 raise you actually keep), or to plan budgets for the year. The result is an estimate based on the standard salaried-individual slabs and does not include tax credits, rebates, provident fund contributions, or other adjustments — always confirm with the FBR portal or a tax professional before filing.