Side-by-side comparison of Pakistan FBR income tax slabs between Finance Acts 2024 and 2025 - with a plain-English impact on your annual tax, the new 10% surcharge above PKR 10M, and what stayed the same.
Income PKR 600K-1.2M now taxed at 1% instead of 5%. Saves up to PKR 24,000/year for filers in this band.
On top of base tax for individuals/AOPs with taxable income above PKR 10,000,000. Does not apply to companies.
Business / AOP slabs are identical to TY 2024-25 - same brackets, same rates from 15% to 45%.
Rates from the First Schedule of the Income Tax Ordinance 2001 as amended by Finance Acts 2024 and 2025.
| Taxable income | TY 2024-25 | TY 2025-26 | Change |
|---|---|---|---|
| Up to PKR 600,000 | 0% | 0% | No change |
| PKR 600,001 - 1,200,000 | 5% | 1% | 4% cut |
| PKR 1,200,001 - 2,200,000 | 15% + Rs 30,000 fixed | 11% + Rs 6,000 fixed | 4% cut |
| PKR 2,200,001 - 3,200,000 | 25% + Rs 180,000 fixed | 23% + Rs 116,000 fixed | 2% cut |
| PKR 3,200,001 - 4,100,000 | 30% + Rs 430,000 fixed | 30% + Rs 346,000 fixed | No change |
| Above PKR 4,100,000 | 35% + Rs 700,000 fixed | 35% + Rs 616,000 fixed | No change |
Finance Act 2025 left the non-salaried First Schedule untouched. Brackets and rates from TY 2024-25 carry forward: 0% up to PKR 600K, then 15% / 20% / 30% / 40% / 45% through the bands. The only difference for non-salaried filers is the new 10% surcharge above PKR 10M taxable income.
Foreign-source platform earnings of PSEB-registered freelancers remain at 0.25% final tax under Section 154A. Non-PSEB IT export proceeds are taxed at the standard 1% final rate.
Applied on the calculated base tax (after slab tax) for filers with taxable income above PKR 10,000,000. Companies are excluded - corporate filers are governed by their flat rate plus Section 4C super tax where applicable.
Slabs sourced from the Income Tax Ordinance 2001 as amended by the Finance Act 2024 and Finance Act 2025. Verify the applicable rate on fbr.gov.pk before submitting your return.