Money & finance
Salary Income Tax Calculator
Find the income tax on your salary for tax year 2027 (July 2026 – June 2027) under the slabs in the Finance Act 2026, with monthly tax, yearly tax, take-home pay and your effective tax rate. You can also compare with last year’s slabs.
How to use the Salary Income Tax Calculator
- Enter your salary and choose monthly or yearly.
- Pick the tax year (2027 is the current one).
- Read the monthly tax, take-home pay and the full slab table.
Formula
Example
A salary of Rs 150,000 a month is Rs 1,800,000 a year. It falls in the Rs 1.2–2.2 million slab: Rs 6,000 + 11% of Rs 600,000 = Rs 72,000 a year, or Rs 6,000 a month.
How salary tax is worked out
Your employer adds up your yearly taxable salary, applies the FBR slab rates for the tax year, and deducts one twelfth of the tax from each month’s pay. If your salary changes during the year, the monthly deduction is adjusted for the remaining months.
Check your deduction
- Compare the tax on your salary slip with the calculator
- Ask HR for your yearly tax certificate
- Check the tax deducted in your FBR IRIS account
- File your return by the deadline to stay on the active taxpayer list
Why filing matters even when tax is deducted
Salaried people on the active taxpayer list (filers) pay lower withholding tax on property, vehicles, bank profit and cash withdrawals. Filing a return each year usually saves more than it costs.
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Frequently asked questions
Who counts as a salaried person?
Someone whose salary is more than 75% of their total taxable income. Others use the business individual slabs, which are different.
Is the surcharge still charged?
Reports on the Finance Act 2026 say the surcharge on high salaries was removed for tax year 2027. Tax year 2026 had a 9% surcharge above Rs 10 million, which the tool includes when you pick that year.
Where can I confirm the rates?
On fbr.gov.pk (Income Tax Ordinance, First Schedule) or with your employer’s payroll or tax adviser.
Is tax charged on my full gross salary?
Tax is charged on taxable salary. Some allowances and reimbursements may be treated differently; your employer or tax adviser can confirm.
What is the tax year in Pakistan?
It runs from 1 July to 30 June. Tax year 2027 covers July 2026 to June 2027.
Results are estimates for planning. For tax, legal or religious decisions, confirm with a qualified person. Your inputs stay in your browser and are not sent to Soft2Cloud.