Government of Pakistan announced budget for 2024-25 financial year. The government revised tax rates for Salary and Business individuals. These tax rates are applicable from 01 July, 2024. In this article, you will learn about the Revised Tax Rates for Salary, Business Individuals for 2024-25.
Revised Tax Slabs for Salary Individuals
Here is an updated Income Tax Slabs for Salaried Individuals (2024-2025)
| Sr. No | Taxable Income | Rate of Tax 2023-24 | Rate of Tax 2024-25 |
|---|---|---|---|
| 1 | Where taxable income does not exceed Rs. 600,000 | 0% | 0% |
| 2 | Where taxable income exceed Rs. 600,000 but does not exceed Rs. 1,200,000 | 2.5% of the amount exceeding Rs. 600,000 | 5% of the amount exceeding Rs. 1,200,000 |
| 3 | Where taxable income exceed Rs. 1,200,000 but does not exceed Rs. 2,200,000 | Rs. 15,000 + 12.5% of the amount exceeding Rs. 1,200,000 | Rs. 30,000 + 15% of the amount exceeding Rs. 1,200,000 |
| 4 | Where taxable income exceed Rs. 2,200,000 but does not exceed Rs. 3,200,000 | Rs. 165,000 + 22.5% of the amount exceeding Rs. 2,400,000 | Rs. 180,000 + 25% of the amount exceeding Rs. 2,200,000 |
| 5 | Where taxable income exceed Rs. 3,200,000 but does not exceed Rs. 4,100,000 | Rs. 435,000 + 27.5% of the amount exceeding Rs. 3,200,000 | Rs. 430,000 + 30% of the amount exceeding Rs. 3,200,000 |
| 6 | Where taxable income exceed Rs. 4,100,000 | Rs. 1,005,000 + 32.5% of amount exceeding Rs. 6,000,000 | Rs. 700,000 plus 35% of the amount exceeding Rs. 4,100,000 |
Revised Tax Slabs for Business Individuals
Here is an updated Income Tax Slabs for Business Individuals and Associates of Persons (AOPs) in (2024-2025)
- Up to Rs. 600,000: No tax, providing relief to small business owners and low-income earners.
- Rs. 600,001 to Rs. 1,200,000: Pay 15% tax on income exceeding Rs. 600,000, easing into tax obligations.
- Rs. 1,200,001 to Rs. 1,600,000: Face Rs. 90,000 plus 20% on income over Rs. 1,200,000, ensuring progressive taxation.
- Rs. 1,600,001 to Rs. 3,200,000: Encounter Rs. 170,000 plus 30% on income over Rs. 1,600,000, reflecting higher earnings.
- Rs. 3,200,001 to Rs. 5,600,000: Meet Rs. 650,000 plus 40% on income over Rs. 3,200,000, aligning with increased income levels.
- Above Rs. 5,600,000: Deal with Rs. 1,610,000 plus 45% on income over Rs. 5,600,000, ensuring equitable contributions from top earners.
The government revise these tax slabs objectifying the simple taxation process and to support small sector of the society. If you found this article helpful, you should also check the revised property tax rates in Pakistan 2024-25.
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