Business

Budget 2024-25: Here’s how much tax has been ‘increased’ on your salary

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Web Desk

2 years ago

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%.

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