Tax Rates in Pakistan for 2016-2017, 2015-2016, 2014-2015

Income Tax Rate for Salary Income Individual Tax Payers 2015-2016

Lowest Individual Tax Rate in Pakistan is 2% and Highest Rate is 30%

Net Taxable Income Rs	Income Tax Rates
up to Rs 4,00,000	0%
Rs 4,00,000 - Rs 5,00,000	2%
Rs 5,00,000 - Rs 7,50,000	Rs 2,000+5% of amount exceeding Rs 5,00,000
Rs 7,50,000 - Rs 14,00,000	Rs 14,500+10% of amount exceeding Rs 7,50,000
Rs 14,00,000 -Rs 15, 00,000	Rs 79,500+12.5% of amount exceeding Rs 14,00,000
Rs 15,00,000 - Rs 18,00,000	Rs 92,000+15% of amount exceeding Rs 15,00,000
Rs 18,00,000 - Rs 25,00,000	Rs 1,37,000+17.5% of amount exceeding Rs 18,00,000
Rs 25,00,000 - Rs 30,00,000	Rs 2,59,500+20% of amount Exceeding Rs 25,00,000
Rs 30,00,000 - Rs 35,00,000	Rs 3,59,500+22.5% of amount exceeding Rs 30,00,000
Rs 35,00,000 - Rs40,00,000	Rs 4,72,000+25% of amount exceeding Rs 35,00,000
Rs 40,00,000 - Rs 70,00,000	Rs 5,97,000+27.5% of amount exceeding Rs 40,00,000
Above Rs 70,00,000	Rs 14,22,000+30% of amount exceeding Rs 70,00,000

Income Tax Rate for Business Individual & AOP

Net Taxable Income Rs	Income Tax Rates
up to Rs 4,00,000	0%
Rs 4,00,000 - Rs 5,00,000	7%
Rs 5,00,000 - Rs 7,50,000	Rs 7,000+10% of amount exceeding Rs 5,00,000
Rs 7,50,000 - Rs 15,00,000	Rs 32,000+15% of amount exceeding Rs 7,50,000
Rs 15,00,000 - Rs 25, 00,000	Rs 1,44,500+20% of amount exceeding Rs 15,00,000
Rs 25,00,000 - Rs 40,00,000	Rs 3,44,500+25% of amount exceeding Rs 25,00,000
Rs 40,00,000 - Rs 60,00,000	Rs 7,19,400+30% of amount exceeding Rs 40,00,000
Above Rs 60,00,000	Rs 13,19,500+35% of amount exceeding Rs 60,00,000

Corporate Tax Rates in Pakistan 2015-2016

Corporate/ Company Tax Rate 32%

Banking Company Tax Rate 35%

Small Company as defined in Section 2, Tax Rate 25%

Profit on Debt 2015-2016

Particulars	Tax Rate%
Profit Exceeds 25 Million	10%
25 Million to 50 Million	25,00,000+12.5% of amount exceeding Rs. 25 Million
Profit Exceeds 50 Million	Rs. 56,25,000+15% of amount exceeding Rs. 50 Million

Capital Gain Tax 2015-2016

Capital gain income derived on immovable property (land) if it is derived within two years is liable to be
taxed under this sub-section [(1A) of section 37] shall be as follows:

Particulars	Tax Rate%
Where holding period of Immovable property is up to one year	10%
5%Where holding period of Immovable property is more than one year but not more than two years	5%
Where holding period o Immovable property is More than two years	0%

Capital Gain Tax on Disposal of Securities 2015-2016

The rate of tax to be paid under section 37A shall be as follows-

Holding Period	Tax Year 2016	Tax Year 2015
Where holding period of a security is less than twelve months.	15%	12%
Where holding period of a security is twelve months or more but less than twenty-four months.	12.5%	10%
Where holding period of a security is twenty four months or more but less than four years	7.5%	0%
Where holding period exceeds four years	0%	-

Pakistan Income Tax Rates 2014-2015 and Deductions

Pakistan Income Tax Rate for Individual Tax Payers

Lowest Individual Tax Rate in Pakistan is 5% and Highest Rate is 30%

Net Taxable Income Rs	Income Tax Rates
up to Rs 4,00,000	0%
Rs 4,00,000 - Rs 7,50,000	5% of amount exceeding Rs 4,00,000
Rs 7,50,000 - Rs 14,00,000	Rs 17,500+10% of amount exceeding Rs 7,50,000
Rs 14,00,000 -Rs 15, 00,000	Rs 82,500+12.5% of amount exceeding Rs 14,00,000
Rs 15,00,000 - Rs 18,00,000	Rs 95,000+15% of amount exceeding Rs 15,00,000
Rs 18,00,000 - Rs 25,00,000	Rs 1,40,000+17.5% of amount exceeding Rs 18,00,000
Rs 25,00,000 - Rs 30,00,000	Rs 2,62,500+20% of amount Exceeding Rs 25,00,000
Rs 30,00,000 - Rs 35,00,000	Rs 3,62,500+22.5% of amount exceeding Rs 30,00,000
Rs 35,00,000 - Rs40,00,000	Rs 4,75,000+25% of amount exceeding Rs 35,00,000
Rs 40,00,000 - Rs 70,00,000	Rs 6,00,000+27.5% of amount exceeding Rs 40,00,000
Above Rs 70,00,000	Rs 14,25,000+30% of amount exceeding Rs 70,00,000

Corporate Tax Rates in Pakistan

For tax year 2014 tax rate for companies other than banking companies shall be 34% and for banking companies it will be 35%. Previously, from 1 July 2006 to 30 June 2013, the tax rate for all companies including banking companies was 35%. Small companies may be taxed at a rate of 25%, subject to specified conditions.

Capital Gains Tax in Pakistan

Capital Gain Tax Rate in Pakistan is 17.50% w.e.f 01.07.2014

Pakistan Dates of filing Returns / Reporting and Payment

Financial Year is from 1st July to 30th June.

Description	Due Date of Filing Tax Return
In case of a company (Both for return of income and/or statement of final/fixed tax):
Whose tax year ends between 1st July and 31st December	30th September
Whose tax year ends between 1st January and 30th June	31st December
In case of salaried individual (Both for return of income and/or statement of final/fixed tax only)	31st August
In case of other individual and association of persons
Required to furnish statement of final/fixed tax only	31st August
Required to furnish statement of final/fixed tax and return of income	30th September
Required to furnish return of income only	30th September

The Federal Board of Revenue (FBR) decided to further extend filing of Income Tax return date from October 31 to November 21.