Navigating Business Tax Rates Tax Year 2025

Pakistan Income Tax Slabs Comparison: 2024 vs. 2025

Here’s the a tabular comparison of the income tax slabs and rates for Pakistan in 2024 and 2025:

S.NoTaxable Income (Rs.)Rate of Tax (2024)Rate of Tax (2025)
1Upto 600,0000%0%
2600,000 – 1,200,0002.5% of exceeding amount5% of exceeding amount
31,200,000 – 2,200,000Rs. 15,000 + 12.5% of exceeding amountRs. 30,000 + 15% of exceeding amount
42,200,000 – 3,200,000Rs. 165,000 + 22.5% of exceeding amountRs. 180,000 + 25% of exceeding amount
53,200,000 – 4,100,000Rs. 435,000 + 27.5% of exceeding amountRs. 430,000 + 30% of exceeding amount
6Above 4,100,000Rs. 1,095,000 + 35% of exceeding amountRs. 700,000 + 35% of exceeding amount

Key Changes:

  • Reduced Tax Rate for Lower Middle Income (2025): The 2025 tax bracket for income between Rs. 600,000 and Rs. 1,200,000 has a lower rate (5%) compared to 2024 (2.5%).

 

  • Adjusted Fixed Tax Amounts and Rates (2025): The fixed tax amounts and progressive tax rates for income exceeding a certain threshold have been revised in 2025.

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