Rs1,000 tax for full year on salary up to Rs800,000 to implement from July 01

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1022

KARACHI: Salary persons having income up to Rs800,000 will pay only Rs1,000 for the whole year and this lower tax rate will be applicable from July 01, 2018 as announced through Finance Act, 2018.
The revised income tax rates for salary persons to be pervailed during Tax Year 2019 will be as followed:
1 Where the taxable income does not exceed Rs.400,000: the tax rate is zero percent
2 Where the taxable income exceeds Rs.400,000 but does not exceed Rs.800,000: An amount of Rs1,000 is payable for a whole year
3 Where the taxable income exceeds Rs.800,000 but does not exceed Rs.1,200,000: An amount of Rs2,000 is payable for a whole year
4 Where the taxable income exceeds Rs.1,200,000 but does not exceed Rs.2,400,000: 5 percent of the amount exceeding Rs.1,200,000
5 Where the taxable income exceeds Rs.2,400,000 but does not exceed Rs.4,800,000: A fixed amount of Rs60,000 with additional 10 percent of the amount exceeding Rs.2,400,000
6 Where the taxable income exceeds Rs.4,800,000: A fixed amount of Rs300,000 with additional 15 percent of the amount exceeding Rs.4,800,000.
Provided that where the taxable income exceeds eight hundred thousand rupees the minimum tax payable shall be two thousand rupees.