Salary Tax Calculator FY 2026-27
FBR income tax slabs for salaried individuals (Finance Act 2026, effective 1 July 2026 – 30 June 2027). Enter your gross salary to see annual tax, monthly deduction and take-home pay.
Your salary
Your tax breakdown
Enter your salary and press Calculate tax.
FBR income tax slabs for salaried individuals — FY 2026-27
The table below reflects the Finance Act 2026, effective 1 July 2026 to 30 June 2027. Notably, the top 35% rate now starts at Rs 7 million (up from Rs 4.1 million), and the section 4AB surcharge has been fully removed for salaried individuals.
| Annual taxable income (PKR) | Tax |
|---|---|
| Up to 600,000 | 0% |
| 600,001 – 1,200,000 | 1% of amount above 600,000 |
| 1,200,001 – 2,200,000 | 6,000 + 11% of amount above 1,200,000 |
| 2,200,001 – 3,200,000 | 116,000 + 20% of amount above 2,200,000 |
| 3,200,001 – 4,100,000 | 316,000 + 25% of amount above 3,200,000 |
| 4,100,001 – 5,600,000 | 541,000 + 29% of amount above 4,100,000 |
| 5,600,001 – 7,000,000 | 976,000 + 32% of amount above 5,600,000 |
| Above 7,000,000 | 1,424,000 + 35% of amount above 7,000,000 |
How progressive slabs work
Only the income inside each slab is taxed at that slab's rate — never your whole salary. For example, on Rs 2,000,000 a year: the first Rs 600,000 is tax-free, the next Rs 600,000 is taxed at 1% (Rs 6,000), and only the remaining Rs 800,000 is taxed at 11% (Rs 88,000) — total Rs 94,000. That is why your effective rate (total tax ÷ total income) is always lower than your marginal rate (the rate on your next rupee).
Salary tax FAQs
How much salary is tax-free in Pakistan in 2026-27?
Annual salary up to Rs 600,000 (Rs 50,000 per month) is completely tax-free for salaried individuals in FY 2026-27.
How is salary tax calculated in Pakistan?
Pakistan uses progressive slabs. Each portion of your annual income is taxed at its slab's rate — only the amount inside a slab gets that slab's rate, never your whole salary.
What is the difference between marginal and effective tax rate?
The marginal rate is the tax on your next rupee earned (your top slab's rate). The effective rate is total tax divided by total income — always lower than the marginal rate under a progressive system.
Is there a surcharge on salaried income in 2026-27?
No. The Finance Act 2026 removed the section 4AB surcharge for salaried individuals entirely.
Who counts as a salaried individual for FBR?
You are a salaried individual if more than 75% of your taxable income comes from salary — wages, allowances and bonuses paid by an employer.