Income Tax Slabs FY 2022-2023 tax brackets 2022

In Pakistan, income tax is levied on individuals and businesses based on their taxable income. Taxable income is the total income earned during a tax year, minus any deductions and exemptions that are allowed under the tax laws. Income tax rates in Pakistan are progressive, meaning that higher levels of income are taxed at higher rates.

The recent modifications to income tax brackets for employed individuals as outlined in the federal budget for the fiscal year 2022-2023 proposed some changes in tax slabs. Commencing from July 1, 2022, individuals with annual taxable incomes exceeding Rs. 600,000 will now be subject to a high income tax rate.

1. Where the taxable salary income does not exceed Rs. 600,000 the rate of income tax is 0%.
2. Where the taxable salary income exceeds Rs. 600,000 but does not exceed Rs. 1,200,000 the rate of income tax is 2.5% of the amount exceeding Rs. 600,000.
3. Where the taxable salary income exceeds Rs. 1,200,000 but does not exceed Rs. 2,400,000 the rate of income tax is Rs. 15,000 + 12.5% of the amount exceeding Rs. 1,200,000.
4. Where the taxable salary income exceeds Rs. 2,400,000 but does not exceed Rs. 3,600,000 the rate of income tax is Rs. 165,000 + 20% of the amount exceeding Rs. 2,400,000.
5. Where the taxable salary income exceeds Rs. 3,600,000 but does not exceed Rs. 6,000,000 the rate of income tax is Rs. 405,000 + 25% of the amount exceeding Rs. 3,600,000.
6. Where the taxable salary income exceeds Rs. 6,000,000 but does not exceed Rs. 12,000,000 the rate of income tax is Rs. 1,005,000 + 32.5% of the amount exceeding Rs. 6,000,000.
7. Where the taxable salary income exceeds Rs. 12,000,000 the rate of income tax is Rs. 2,955,000 + 35% of the amount exceeding Rs. 12,000,000.

Sales Tax Calculator Pakistan

A sales tax calculator is a tool that can be used to calculate the sales tax on a purchase in Pakistan. Sales tax is a tax on the sale of goods and services, and it is typically added to the price of the goods or services being purchased.

In Pakistan, sales tax is levied at the federal and provincial levels. The federal government levies a general sales tax (GST) at a rate of 17% on most goods and services, while the provincial governments levy their own sales taxes at varying rates.

To use a sales tax calculator in Pakistan, you will need to know the following information:

1. The total price of the goods or services being purchased.
2. The applicable sales tax rate. This can be found by adding the federal GST rate of 17% and the applicable provincial sales tax rate.

To calculate the sales tax on a purchase in Pakistan, you can use the following formula:

Total sales tax = Total price x (Sales tax rate / 100)

For example, if you are purchasing goods for PKR 100,000 and the applicable sales tax rate is 17%, the total sales tax would be calculated as follows:

Total sales tax = 100,000 x (17 / 100) = PKR 17,000

It is important to note that sales tax rates and rules can change periodically, so it is always a good idea to consult with a tax professional or refer to the relevant government agency for the most up-to-date information.

What is an Income / Salary Tax Calculator?

An income tax calculator is a tool that allows you to estimate the amount of income tax you may owe based on your income, filing status, and other factors. To use an income tax calculator, you will need to enter information such as your gross income, deductions, and exemptions. The calculator will then use this information to estimate your tax liability based on the applicable tax rates and rules. This calculator can be used as fbr tax calculator.

There are many different income tax calculators available online, and they can vary in terms of the level of detail and complexity. Some income tax calculators may only provide a rough estimate of your tax liability, while others may offer more detailed calculations and allow you to enter more information about your specific tax situation.

It's important to note that an income tax calculator is only a tool to provide an estimate of your tax liability. The actual amount of tax you owe may be different due to various factors, such as changes to tax laws, errors in the calculator, or discrepancies in your tax return. For the most accurate estimate of your tax liability, it is recommended to consult a tax professional or use tax preparation software.

Frequently Asked Questions

Non-filer required to file a tax return and ATL fee u/s 182 of Tax ordinance 2001 Pakistan. Which may vary between individuals. If you want to learn how to check NTN Status in Pakistan, click on the below link.

Check NTN Status Online

If you have a registered NTN that's not mean you are Tax Filer. You also need to check the Filer and Non-Filer status, FBR updates the ATL on the 1st of March each year. Check ATL Status Online