The relief for the salaried class was short-lived as the government has revised tax deduction criteria for the segment on the demand of the International Monetary Fund (IMF).
For the salaried class, the government has proposed a tax rate of 2.5% for income brackets of Rs50,000 to Rs100,000. For monthly income earners of Rs100,000 to Rs300,000, the proposed tax rate has been jacked up to 12.5%.
Read more: Govt increases tax rates for salaried class on IMF demand
Where the taxable income exceeds Rs3,600,000 but does not exceed Rs6,000,000, the FBR has proposed a hike in the tax rate from 17.5% to 20%. Where the taxable income exceeds Rs6,000,000 but does not exceed Rs12,000,000, the FBR tax rate is proposed to be increased from 22.5% to 25%.
Where the taxable income exceeds Rs12,000,000, the FBR will charge a tax amount of Rs2,004,000 plus 32.5% of the amount exceeding Rs12,000,000 on a per annum basis. For the above income, the FBR has proposed a tax rate of 35%.
Calculate your income tax here:
Disclaimer: This is to clarify that the calculations are being done on the slabs available with Geo.tv. The calculations may change when the tax slabs are finalised.
