Salary Tax Slabs 2022-23 Pakistan
The government announced
major tax relief for salaried class by enhancing threshold from Rs. 600,000 to
Rs. 1,200,000 on June 10, 2022 presented the federal budget 2022/2023.
Through the Finance Bill,
2022 the government on June 10, 2022 proposed the following rates of tax on
salary income:
Salary Income Slabs & Tax Rates Proposed Through Finance Bill,
2022:
|
S. No. |
Taxable Income |
Rate of Tax |
|
1 |
Where taxable income does not
exceed Rs. 600,000 |
0 |
|
2 |
Where taxable income exceeds Rs.
600,000 but does not exceed Rs. 1,200,000 |
Rs. 100 |
|
3 |
Where taxable income exceeds Rs.
1,200,000 but does not exceed Rs. 2,400,000 |
7% of the amount exceeding Rs.
1,200,000 |
|
4 |
Where taxable income exceeds Rs.
2,400,000 but does not exceed Rs. 3,600,000 |
Rs. 84,000 + 12.5% of the amount
exceeding Rs. 2,400,000 |
|
5 |
Where taxable income exceeds Rs.
3,600,000 but does not exceed Rs. 6,000,000 |
Rs. 234,000 + 17.5% of the amount
exceeding Rs. 3,600,000 |
|
6 |
Where taxable income exceeds Rs.
6,000,000 but does not exceed Rs. 12,000,000 |
Rs. 654,000 + 22.5% of the amount
exceeding Rs. 6,000,000 |
|
7 |
Where taxable income exceeds Rs.
12,000,000 |
Rs. 2,004,000 + 32.5% of the
amount exceeding Rs. 12,000,000 |
Revised Salary Income Tax Rates
TAX YEAR 2023
The government has proposed revised salary tax rates for tax year 2023 with effect from July 01, 2022. The following is the proposed revised rates for tax year 2023:
|
S. No. |
Taxable Income |
Rate of Tax |
|
1 |
Where taxable income
does not exceed Rs. 600,000 |
0 |
|
2 |
Where taxable income
exceeds Rs. 600,000 but does not exceed Rs. 1,200,000 |
2.5% of the amount exceeding Rs. 600,000 |
|
3 |
Where taxable income
exceeds Rs. 1,200,000 but does not exceed Rs. 2,400,000 |
Rs. 15,000/- + 12.5% of the amount exceeding Rs. 1,200,000 |
|
4 |
Where taxable income
exceeds Rs. 2,400,000 but does not exceed Rs. 3,600,000 |
Rs. 165,000/- + 20% of the amount exceeding Rs. 2,400,000 |
|
5 |
Where taxable income
exceeds Rs. 3,600,000 but does not exceed Rs. 6,000,000 |
Rs. 405,000/- + 25% of the amount exceeding Rs. 3,600,000 |
|
6 |
Where taxable income
exceeds Rs. 6,000,000 but does not exceed Rs. 12,000,000 |
Rs. 1,005,000/- + 32.5% of the amount exceeding Rs. 6,000,000 |
|
7 |
Where taxable income
exceeds Rs. 12,000,000 |
Rs. 2,955,000/- + 35% of the amount exceeding Rs. 12,000,000 |
Salary
Income Tax Rates
TAX
YEAR 2022
The existing rate of income
tax on the salary persons for tax year 2022 (July 01, 2021 – June 30, 2022) is
as follow:
(2) Where the income of an
individual chargeable under the head “salary” exceeds seventy-five per cent of
his taxable income, the rates of tax to be applied shall be as set out in the
following table, namely: —
|
S. No. |
Taxable Income |
Rate of Tax |
|
1 |
Where taxable
income does not exceed Rs. 600,000 |
0 |
|
2 |
Where 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. 1,800,000 but does not exceed Rs. 2,500,000 |
Rs. 30,000 +
10% of the amount exceeding Rs. 1,200,000 |
|
4 |
Where taxable
income exceeds Rs. 2,500,000 but does not exceed Rs. 3,500,000 |
Rs. 90,000 + 15% of the amount exceeding Rs. 1,800,000 |
|
5 |
Where taxable
income exceeds Rs. 3,500,000 but does not exceed Rs. 5,000,000 |
Rs. 195,000 + 17.5% of the amount exceeding Rs. 2,500,000 |
|
6 |
Where taxable
income exceeds Rs. 5,000,000 but does not exceeds Rs. 8,000,000 |
Rs. 370,000 +
20% of the amount exceeding Rs. 3,500,000 |
|
7 |
Where taxable
income exceeds Rs. 8,000,000 but does not exceeds Rs. 12,000,000 |
Rs. 670,000 plus 22.5% of the amount exceeding Rs. 5,000,000 |
|
8 |
Where taxable
income exceeds Rs. 12,000,000 but does not exceeds Rs. 30,000,000 |
Rs. 1,345,000 + 25% of the amount exceeding Rs. 8,000,000 |
|
9 |
Where taxable
income exceeds Rs. 30,000,000 but does not exceeds Rs. 50,000,000 |
Rs. 2,345,000 + 27.5% of the amount exceeding Rs. 12,000,000 |
|
10 |
Where taxable
income exceeds Rs. 50,000,000 but does not exceeds Rs. 75,000,000 |
Rs. 7,295,000 + 30% of the amount exceeding Rs. 30,000,000 |
|
11 |
Where taxable
income exceeds Rs. 75,000,000 |
Rs. 21,420,000 +
35% of the amount exceeding Rs. 75,000,000 |
