Pakistan Personal Income Tax
Detailed personal income tax rates and rules for Pakistan in 2026.
Pakistan's income tax for salaried individuals has progressive rates from 0% to 35%. Non-salaried individuals and associations of persons face slightly different rates. The first PKR 600,000 of annual income is exempt. Pakistan has a comprehensive withholding tax system with over 60 different withholding provisions covering various transactions. 'Non-filers' (those not on the Active Taxpayer List) face higher withholding rates as an incentive to register.
| Income Range (PKR) | Tax Rate |
|---|---|
| Rs 0 – Rs 600K | 0% |
| Rs 600K – Rs 1.2M | 2.5% |
| Rs 1.2M – Rs 2.4M | 12.5% |
| Rs 2.4M – Rs 3.6M | 22.5% |
| Rs 3.6M – Rs 6.0M | 27.5% |
| Rs 6.0M+ | 35% |
Filing Deadline
September 30 (individuals); December 31 (companies)
Residency Rule
An individual present in Pakistan for 183 days or more in a tax year is a resident. Residents are taxed on worldwide income. Non-residents are taxed only on Pakistan-sourced income.
Additional Notes
Pakistan distinguishes between 'filers' (on the Active Taxpayer List) and 'non-filers' who face significantly higher withholding tax rates on various transactions including banking, property purchases, vehicle registrations, and securities transactions. This dual-rate system incentivizes tax registration.
How Pakistan Income Tax compares
Pakistan’s top personal income tax rate of 35% is the 59th highest of 203 countries TaxAtlas tracks, above the global average of 27.7% and Asia’s regional average of 22.2%.
