Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
₨ 71,002
Income Tax
- ₨ 525
Social Security
- ₨ 250
Total tax
- ₨ 775
Net pay
* ₨ 70,227
Marginal tax rate
2.5%
Average tax rate
1.1%
98.9%
Net pay
1.1%
Total tax
Total tax
Net pay
The Taxberg
₨ 70,227
Net pay
₨ 1,250
Tax the employer pays
₨ 775
Tax you pay
Total tax paid
₨ 2,025
Did you know your employer also pays tax on your salary? It costs the employer ₨ 1,250 to pay you ₨ 71,002. In other words, every time you spend ₨ 10 of your hard-earned money, ₨ 0.29 goes to the government.
Real tax rate
2.8%
So, with you and the employer both paying tax, what used to be a 1.1% tax rate now rises to 2.8%, meaning your real tax rate is actually 1.7% higher than what it seemed at first.
Summary
If you make ₨ 852,024 a year living in the region of Islamabad Capital Territory, Pakistan, you will be taxed ₨ 9,301. That means that your net pay will be ₨ 842,723 per year, or ₨ 70,227 per month. Your average tax rate is 1.1% and your marginal tax rate is 2.5%. This marginal tax rate means that your immediate additional income will be taxed at this rate. For instance, an increase of ₨ 100 in your salary will be taxed ₨ 2.50, hence, your net pay will only increase by ₨ 97.50.
Bonus Example
A ₨ 1,000 bonus will generate an extra ₨ 975 of net incomes. A ₨ 5,000 bonus will generate an extra ₨ 4,875 of net incomes.
Tax per region
Region
Net pay
Average tax
Rank
Balochistan
PKR 842723
1.1%
1
Islamabad Capital Territory
PKR 842723
1.1%
2
Khyber Pakhtunkhwa
PKR 842723
1.1%
3
Sindh
PKR 842723
1.1%
4
North America
Country 
Net pay
Average tax
Rank
USA
PKR 778231
8.7%
1
Canada
PKR 743763
12.7%
2
NOTE* Withholding is calculated based on the Islamabad Capital Territory tables of Pakistan, income tax. For simplification purposes some variables (such as marital status and others) have been assumed. This document does not represent legal authority and shall be used for approximation purposes only.