Salary tax slabs 2026-27 (tax year 2027)
| Annual taxable income | Monthly equivalent | Tax |
|---|---|---|
| Up to Rs 600,000 | up to Rs 50,000 | Nil |
| Rs 600,001 – 1,200,000 | Rs 50,000 – 100,000 | 1% of amount above Rs 600,000 |
| Rs 1,200,001 – 2,200,000 | Rs 100,000 – 183,333 | Rs 6,000 + 11% of amount above Rs 1,200,000 |
| Rs 2,200,001 – 3,200,000 | Rs 183,333 – 266,667 | Rs 116,000 + 20% of amount above Rs 2,200,000 |
| Rs 3,200,001 – 4,100,000 | Rs 266,667 – 341,667 | Rs 316,000 + 25% of amount above Rs 3,200,000 |
| Rs 4,100,001 – 5,600,000 | Rs 341,667 – 466,667 | Rs 541,000 + 29% of amount above Rs 4,100,000 |
| Rs 5,600,001 – 7,000,000 | Rs 466,667 – 583,333 | Rs 976,000 + 32% of amount above Rs 5,600,000 |
| Rs 7,000,001 and above | Rs 583,333+ | Rs 1,424,000 + 35% of amount above Rs 7,000,000 |
Source: FBR Withholding Tax Rate Card (Finance Act 2026). The 9% surcharge on salaried income above Rs 10 million was abolished from tax year 2027. Last checked 2026-10-04.
Tax on common monthly salaries
| Monthly salary | Monthly tax 2026-27 | Monthly tax 2025-26 | Take-home | Effective rate |
|---|---|---|---|---|
| Rs 50,000 | Rs 0 | Rs 0 | Rs 50,000 | 0.0% |
| Rs 75,000 | Rs 250 | Rs 250 | Rs 74,750 | 0.3% |
| Rs 100,000 | Rs 500 | Rs 500 | Rs 99,500 | 0.5% |
| Rs 150,000 | Rs 6,000 | Rs 6,000 | Rs 144,000 | 4.0% |
| Rs 200,000 | Rs 13,000 | Rs 13,500 | Rs 187,000 | 6.5% |
| Rs 250,000 | Rs 23,000 | Rs 25,000 | Rs 227,000 | 9.2% |
| Rs 300,000 | Rs 34,667 | Rs 38,833 | Rs 265,333 | 11.6% |
| Rs 400,000 | Rs 62,000 | Rs 71,750 | Rs 338,000 | 15.5% |
| Rs 500,000 | Rs 92,000 | Rs 106,750 | Rs 408,000 | 18.4% |
| Rs 750,000 | Rs 177,000 | Rs 194,250 | Rs 573,000 | 23.6% |
| Rs 1,000,000 | Rs 264,500 | Rs 307,108 | Rs 735,500 | 26.5% |
Monthly tax by salary, 2026-27 vs 2025-26
How salary tax is calculated
- Work out annual taxable salary — monthly taxable salary × 12 (plus bonuses), after any exempt allowances.
- Find your slab in the table and apply its fixed amount plus the rate on the amount above the slab’s lower limit.
- Divide by 12 — your employer spreads the yearly tax across the months under section 149 of the Income Tax Ordinance.
Example: Rs 300,000 a month = Rs 3,600,000 a year
Tax = Rs 316,000 + 25% × (3,600,000 − 3,200,000) = Rs 416,000 a year = Rs 34,667 a month
Tax = Rs 316,000 + 25% × (3,600,000 − 3,200,000) = Rs 416,000 a year = Rs 34,667 a month
Estimate only. This calculator applies the slabs to the salary you enter. Exemptions, tax credits (for example for donations or pension fund contributions) and adjustments by your employer can change the final figure. File your return on FBR’s IRIS portal to stay on the active taxpayer list.
Last reviewed: 2026-10-04 · Disclaimer