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Tax slabs after the income tax revisions

The government has reversed its decision to exempt the income of salaried persons up to Rs1.2 million.

Income Tax SlabsIncome Tax Slabs | OyeYeah News
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Here are the tax slabs after the income tax revisions imposed by the government of Pakistan.

Some changes to tax deduction criteria for the salaried people have been made by the government on the demand of the International Monetary Fund (IMF).

The government has reversed its decision to exempt the income of salaried persons up to Rs1.2 million.

As per the revised tax criteria, the government proposed a tax rate of 2.5% for income brackets of Rs50,000 to Rs100,000.

For income earners from Rs100,000 to Rs300,000 on monthly basis, the proposed tax rate has been jacked up to 12.5%.

The FBR proposed to jack up the tax rate from 17.5% to 20% where the taxable income exceeds Rs3,600,000 but does not exceed Rs6,000,000.

The FBR tax rate is proposed to be increased from 22.5% to 25% where the taxable income exceeds Rs6,000,000 but does not exceed Rs12,000,000.

Meanwhile, where the taxable income exceeds Rs12,000,000, the FBR will charge a tax amount of Rs2,004,000 plus 32.5% of the amount exceeding Rs12,000,000 on a per annum basis.

Furthermore, where taxable income exceeds Rs. 30,000,000 but does not exceeds Rs. 50,000,000: Rs. 7,295,000 plus 30% of the amount exceeding Rs. 30,000,000,

Where taxable income exceeds Rs. 50,000,000 but does not exceeds Rs. 75,000,000: Rs. 13,295,000 plus 32.5% of the amount exceeding Rs. 50,000,000.

Where taxable income exceeds Rs. 75,000,000 Rs. 21,420,000 plus 35% of the amount exceeding Rs. 75,000,000.

the authorSaman Siddiqui
Saman Siddiqui, A freelance journalist with a Master’s Degree in Mass Communication and MS in Peace and Conflict Studies. Associated with the media industry since 2006. Experience in various capacities including Program Host, Researcher, News Producer, Documentary Making, Voice Over, Content Writing Copy Editing, and Blogging, and currently associated with OyeYeah since 2018, working as an Editor.