ISLAMABAD: Federal Board of Revenue has issued new tax rate slabs for salary income to be applicable during 2017-18.
The tax is payable by persons making taxable income and to be deducted by employees at the time of salary is paid.
| 1. Where the taxable income does not exceed Rs, 400,000 | 0% |
| 2. Where the taxable income exceeds Rs, 400,000 but does not exceed Rs, 500,000 | 2% of the amount exceeding Rs, 400,000 |
| 3. Where the taxable income exceeds Rs, 500,000 but does not exceed Rs, 750,000 | Rs,2,000+5% of the amount exceeding Rs, 500,000 |
| 4. Where the taxable income exceeds Rs, 750,000 but does not exceed Rs, 1,400,000 | Rs, 14,500+10% of the amount exceeding Rs, 750,000 |
| 5. Where the taxable income exceeds Rs, 1,400,000 but does not exceed Rs, 1,500,000. | Rs, 79,500+12.5% of the amount exceeding Rs, 1,400,000 |
| 6. Where the taxable income exceeds Rs, 1,500,000 but does not exceed Rs, 1,800,000 | Rs, 92,000+15% of the amount exceeding Rs, 1,500,000 |
| 7. Where the taxable income exceeds Rs, 1,800,000 but does not exceed Rs, 2,500,000 | Rs, 137,000+17.5% of the amount exceeding Rs, 1,800,000 |
| 8. Where the taxable income exceeds Rs, 2,500,000 but does not exceed Rs, 3,00,000 | Rs, 259,500+20% of the amount exceeding Rs, 2,500,000 |
| 9. Where the taxable income exceeds Rs, 3,000,000 but does not exceed Rs, 3,500,000 | Rs, 359,500+22.5% of the amount exceeding Rs, 3,000,000 |
| 10. Where the taxable income exceeds Rs, 3,500,000 but does not exceed Rs, 4,000,000 | Rs, 472,000+25% of the amount exceeding Rs, 3,500,000 |
| 11. Where the taxable income exceeds Rs, 4,000,000 but does not exceed Rs, 7,000,000 | Rs,597,000+27.5%of the amount exceeding Rs, 4,000,000 |
| 12. Where the taxable income exceeds Rs,7,000,000 | Rs,1,422,000+30% of the amount exceeding Rs, 7,000,000 |
