Income Tax Calculator

Calculate your exact tax liability and take-home income. Our calculator instantly applies the latest 2025-26 tax slabs.

HB

Written By: Haider Bosal

Reviewed By: Editorial Team

Last Updated: June 2026

✓ Updated for Finance Act 2026-2027

Income Tax Calculator 2025-26

PKR

Your Tax Summary

Take Home Pay
Rs 97,500
Total Tax
Rs 2,500

Detailed Breakdown

Gross IncomeRs 100,000
Total TaxRs 2,500
Take Home SalaryRs 97,500
Effective Tax Rate2.5%

How does this calculator work?

Our calculator uses the official Federal Board of Revenue (FBR) tax slabs for the fiscal year 2025-26. It determines whether you fall under the salaried or non-salaried category based on your selection, identifies the correct tax slab for your income bracket, and calculates the exact fixed amount and percentage on the exceeding amount.

View Detailed Tax Slabs

Handling Mixed Income Scenarios

If you have multiple sources of income (e.g., a full-time job plus a freelance side-business), FBR applies a strict 75% rule:

  • If your base salary is more than 75% of your total combined income, you select the "Salaried" toggle.
  • If your business/freelance income is more than 25% of your total combined income, you must select the "Business" toggle, which applies a slightly higher progressive tax rate.

Example: If you earn Rs. 200,000/month from your salary, and Rs. 50,000/month from a side business. Your total is Rs. 250,000. Salary is 80% of the total. Therefore, you calculate your tax using the "Salaried" tax slabs.

Frequently Asked Questions

What is the difference between salaried and business tax rates in Pakistan?

Salaried tax rates apply if your salary income constitutes more than 75% of your total taxable income. Business/non-salaried tax rates apply if your salary is 75% or less of your total income. Business tax rates have higher progressive tax rates compared to salaried ones.

What is the tax year 2025-26 in Pakistan?

The tax year 2025-26 runs from July 1, 2025, to June 30, 2026. The tax calculations on this website use the official FBR slabs passed in the Finance Act for this specific period.

Can I calculate tax for both salaried and non-salaried income?

Yes! Our calculator provides a simple toggle between "Salaried" and "Business" (non-salaried) categories, allowing you to instantly compare the different tax brackets.

What is income tax?

Income tax is a direct tax levied by the Federal Board of Revenue (FBR) on the taxable income of individuals and businesses in Pakistan under the Income Tax Ordinance 2001. The tax amount depends on your total annual income and the applicable tax slab.

How is income tax calculated?

Income tax is calculated by determining your annual taxable income and applying the FBR progressive slab rates for 2025-26. A fixed amount is added to a percentage of the income that exceeds the lower slab threshold. For example, a salaried individual earning Rs. 1,200,000 per year pays Rs. 30,000 in tax.

Who should pay income tax in Pakistan?

Every resident individual whose annual taxable income exceeds Rs. 600,000 is required to pay income tax. This includes salaried employees, business owners, freelancers, consultants, and other earners with taxable income above the threshold.

Can freelancers use this calculator?

Yes. Freelancers can select the "Business" (non-salaried) option in the calculator to estimate their income tax liability based on FBR's non-salaried tax slabs for 2025-26.

Can salaried employees use this calculator?

Absolutely. Salaried employees can select the "Salaried" option and enter their monthly or annual salary to instantly calculate their income tax, monthly deduction, and take-home pay.

Does this calculator follow FBR tax slabs?

Yes. This income tax calculator is built on the official FBR tax slabs for the tax year 2025-26 as notified in the Finance Act. Both salaried and non-salaried slab tables are included.

Is this calculator free?

Yes, this income tax calculator is completely free. There is no sign-up, registration, or payment required to use it.

How accurate are the results?

The results are highly accurate for standard income scenarios as the calculator uses the official FBR tax slabs. Individual tax liability may vary based on exemptions, deductions, and allowances. For a personalised assessment, consult a registered tax consultant.

How to Use the Income Tax Calculator

You can estimate your Pakistan income tax using the latest FBR tax slabs for the 2025–26 tax year. Simply follow these five steps:

  1. Enter your annual or monthly income.
  2. Select the tax year.
  3. Click Calculate.
  4. View your estimated annual income tax.
  5. Review your monthly tax and take-home income.

Who Can Use This Income Tax Calculator?

  • Salaried Employees
  • Government Employees
  • Private Company Employees
  • Freelancers
  • Consultants
  • Small Business Owners
  • Teachers
  • Doctors
  • Engineers
  • IT Professionals

Income Tax Calculation Examples

The table below shows estimated annual income tax for common monthly income levels, based on FBR salaried tax slabs 2025–26.

Monthly IncomeAnnual IncomeEstimated Annual TaxEffective Tax Rate
Rs. 50,000Rs. 600,000Rs. 0 Tax Exempt0%
Rs. 100,000Rs. 1,200,000Rs. 30,0002.5%
Rs. 150,000Rs. 1,800,000Rs. 120,0006.67%
Rs. 200,000Rs. 2,400,000Rs. 230,0009.58%

* Figures are calculated using FBR salaried tax slabs 2025–26. Actual liability may differ based on allowances, exemptions, and deductions. Use the calculator above for a precise estimate.

Benefits of Using Our Income Tax Calculator

  • Latest FBR Tax Slabs

    Calculations are based on the official FBR salaried and non-salaried tax slabs for 2025–26.

  • Instant Results

    Get your complete tax breakdown in seconds — no waiting and no complicated spreadsheets.

  • Free to Use

    Completely free with no hidden charges, subscriptions, or paywalls.

  • Mobile Friendly

    Fully responsive and optimised for use on smartphones and tablets.

  • Accurate Estimates

    Based directly on FBR tax slabs — no guesswork, no approximations.

  • Updated for Tax Year 2025–26

    Reflects the latest Finance Act amendments for the current tax year.

Common Income Tax Calculation Mistakes

Avoid these errors to ensure your income tax estimate is as accurate as possible:

  • Using the wrong tax year
  • Ignoring taxable allowances
  • Entering incorrect income
  • Using outdated tax slabs
  • Calculating manually