For non-salaried individuals, the maximum tax rate is proposed to be set at 45%.
ISLAMABAD – Pakistan’s federal government has unveiled the budget for the fiscal year 2024-25, introducing major changes in the income tax structure. Finance minister, Muhammad Aurangzeb, outlined these tax changes on already inflation hit masses. Below are the details regarding how much tax has been increased on your salary effective July 2024.
Income Tax Reforms for 2024-25:
The Federal Board of Revenue (FBR) has implemented key income tax increase following the announcement in the budget. The proposed changes include:
- Income Bracket: Rs 600,000 to Rs 1,200,000 Annually
- Monthly Income: Rs 100,000
- Previous Monthly Tax: Rs 1,250
- New Monthly Tax: Rs 2,500
- Income Bracket: Rs 1,200,000 to Rs 2,200,000 Annually
- Monthly Income: Rs 183,000
- Previous Monthly Tax: Rs 11,650
- New Monthly Tax: Rs 15,000
- Income Bracket: Rs 2,200,000 to Rs 3,200,000 Annually
- Monthly Income: Rs 267,500
- Previous Monthly Tax: Rs 28,750
- New Monthly Tax: Rs 35,834
For non-salaried individuals, the maximum tax rate is proposed to be set at 45%.
More From FactFile: Federal Budget 2024-25: Key Takeaways, updates including allocations & targets
Budget 2024-25: Latest Income Tax Calculator:
| Monthy Salary | Annual Salary | Annual Tax Current | Monthly Tax Current | Annual Tax New | Monthly Tax New | Increase |
| 50,000 | 600000 | 0 | 0 | 0 | 0 | 0 |
| 100,000 | 1200000 | 15,000 | 1250 | 30000 | 2500 | 1250 |
| 150,000 | 1800000 | 90,000 | 7500 | 120000 | 10000 | 2500 |
| 200,000 | 2400000 | 165,000 | 13750 | 230000 | 19167 | 5417 |
| 225,000 | 2700000 | 232,500 | 19375 | 305000 | 25417 | 6042 |
| 250,000 | 3000000 | 300,000 | 25000 | 380000 | 31667 | 6667 |
| 300,000 | 3600000 | 435,000 | 36250 | 550000 | 45833 | 9583 |
| 350,000 | 4200000 | 600,000 | 50000 | 735000 | 61250 | 11250 |
| 400,000 | 4800000 | 765,000 | 63750 | 945000 | 78750 | 15000 |
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