The federal government has just announced the budget for the year 2019-2020 with several tax adjustments. This also included adjustments in income tax slabs for individuals and association of persons.
Here are the new slabs:
Tax Slabs for Salaried Income
If the income of an individual chargeable under the head of “salary” exceeds seventy-five percent of his taxable income, the rates of tax applied will be as follows:
| S. No | Taxable Income | Rate of Tax |
| (1) | (2) | (3) |
| 1. | Where the taxable income does not exceed Rs. 600,000 | 0% |
| 2. | Where the taxable income exceeds Rs. 600,000 but does not exceed Rs. 1,200,000 | 5% of the amount exceeding Rs. 600,000 |
| 3. | Where taxable income exceeds Rs. 1,200,000 but does not exceed Rs. 1,800,000 | Rs. 30,000 plus 10% of the amount exceeding Rs. 1,200,000 |
| 4. | Where taxable income exceeds Rs. 1,800,000 but does not exceed Rs. 2,500,000 | Rs. 90,000 plus 15% of the amount exceeding Rs. 1,800,000 |
| 5. | Where taxable income exceeds Rs. 2,500,000 but does not exceed Rs. 3,500,000 | Rs. 195,000 plus 17.5% of the amount exceeding Rs. 2,500,000 |
| 6. | Where the taxable income exceeds Rs. 3,500,000 but does not exceed Rs. 5,000,000 | Rs. 370,000 plus 20% of the amount exceeding Rs. 3,500,000 |
| 7. | Where the taxable income exceeds Rs. 5,000,000 but does not exceed Rs. 8,000,000 | Rs. 670,000 plus 22.5% of the amount exceeding Rs. 5,000,000 |
| 8. | Where the taxable income exceeds Rs. 8,000,000 but does not exceed Rs. 12,000,000 | Rs. 1,345,000 plus 25% of the amount exceeding Rs. 8,000,000 |
| 9. | Where taxable income exceeds Rs. 12,000,000 but does not exceed Rs.30,000,000 | Rs. 2,345,000 plus 27.5% of the amount exceeding Rs. 12,000,000 |
| 10. | Where the taxable income exceeds Rs. 30,000,000 but does not exceed Rs.50,000,000 | Rs. 7,295,000 plus 30% of the amount exceeding Rs. 30,000,000 |
| 11. | Where taxable income exceeds Rs. 50,000,000 but does not exceed Rs.75,000,000 | Rs.13,295,000 plus 32.5% of the amount exceeding Rs. 50,000,000 |
| 12. | Where taxable income exceeds Rs.75,000,000 | Rs. 21,420,000 plus 35% of the amount exceeding Rs. 75,000,000 |
Tax Slabs for Unsalaried Income
The rates of tax imposed on the income of every individual and association of persons, except a salaried individual, are as follows:
| S. No | Taxable Income | Rate of Tax |
| (1) | (2) | (3) |
| 1. | Where the taxable income does not exceed Rs. 400,000 | 0% |
| 2. | Where the taxable income exceeds Rs. 400,000 but does not exceed Rs. 600,000 | 5% of the amount exceeding Rs. 400,000 |
| 3. | Where the taxable income exceeds Rs. 600,000 but does not exceed Rs. 1,200,000 | Rs. 10,000 plus 10% of the amount exceeding Rs. 600,000 |
| 4. | Where the taxable income exceeds Rs. 1,200,000 but does not Rs. 2,400,000 | Rs. 70,000 plus 15% of the amount exceeding Rs. 1,200,000 |
| 5 | Where taxable income exceeds Rs. 2,400,000 but does not exceed Rs. 3,000,000 | Rs. 250,000 plus 20% of the amount exceeding Rs. 2,400,000 |
| 6 | Where taxable income exceeds Rs. 3,000,000 but does not exceed Rs. 4,000,000 | Rs. 370,000 plus 25% of the amount exceeding Rs. 3,000,000 |
| 7. | Where the taxable income exceeds Rs. 4,000,000 but does not exceed Rs. 6,000,000 | Rs. 620,000 plus 30% of the amount exceeding Rs. 4,000,000 |
| 8. | Where the taxable income exceeds Rs. 6,000,000 | Rs. 1,220,000 plus 35% of the amount exceeding Rs. 6,000,000 |
Matlb tax na lainy wali baat howie :/
It looks wrong as per news.
Saw different Fix amounts on 92 news.
6 Lacs – No Tax
6 – 8 Lacs – 2000 PKR
8 – 14 Lacs – 14500 PKR
14 – 15 Lacs – 79500
etc.
Please confirm
It was wrong, I saw that too
92 news announced it yesterday
This one is as per budget announced
No. It sounds correct
Is it yearly or monthly?
Yearly
my freelance earnings come under unsalaried income? do i have to pay tax on freelance income?
tm kis me paise earn krte ho usd me ya pkr me? agr usd me to phr na bane ga tax
you’re wrong he will have to pay tax under foreign income, because that is not remmitance
Do post the comparison of same with last two versions
Totally wrong information.
What is the correct information?
This is as per Finance Bill presented in National Assembly.
Why salaried persons have to pay dual taxes ? This country is running on indirect taxes everything is heavily taxed through Duties and Sales Tax this is because We dont have income tax base in Pakistan. So why Salaried persons are being robbed once through income Tax and on the other hand through indirect Taxes ??????
oh my God ,how can we survive
These are wrong figures. Please fix it so people doesn’t get confused.
Pakistanioo aapny ghabranaa nhi hy…
For Salaried person, koi baat nhii hum aapko 100 pr 75 ka balance daity hain, but hum aapki salaries sy bhi tax lain gy, bs aapny ghabrana nhi hy.
What about freelance earning in pak rupee, they are taxable but at what slabs or rate?
Why salaried persons have to pay dual taxes ? This country is running on indirect taxes everything is heavily taxed through Duties and Sales Tax this is because We don’t have income tax base in Pakistan. So why Salaried persons are being robbed once through income Tax and on the other hand through indirect Taxes ?
if a person have multiple source of incom like salary+property rent etc. how we calculate his total taxable income
What about freelance. what is the slab for freelancer. if anyone work at home and earn 1 lack
Basic pay x 12= annual salary?
OR
Net pay after deduction x 12 = annual salary?
Grand pay x 12 = annual salary
Define any person.
gross pay
GROSS INCOME *12= PERSON (SALARY INDIVIDUAL ).
PERSON CAN BE A BUSINESS INDIVIDUAL ………………………………………..
Jahiliyyath on its peak. When they don’t implement the Zakaath system in Pakistan and they only want tax, tax, tax. Tax system like that is baatil and not in Islam. These juhulah come from westernized interest system and they studied there and they tell us about tax.
Allaah made 2.5 per cent of saving as zakaath. Try to take that money at least and then for to do things of falah of people like roads and bridges and hospitals which are used for poor and needy as well rich ones, they can implement 1% of tax from same rich person. So it would be like total 3.5 per cent. 2.5 zakaath and only 1 per cent tax. Because if you would do such a zulm, people would only curse on you.
We pray to Allah that may He azza wa jalla guide our hukkaam to follow our deen and take everything from our deen rather than the way of kuffaar.
well said brother
Professional Tax is missing in this. Professional Tax was not implemented on Salaried person before but now its applicable.
abdullah abdul rehman describe the exact direction to leaders to implement that orders given by Allah and not by foreign countries
money circulation within country, observe the return