Pakistan Withholding Tax Calculator

Withholding tax (WHT) is tax deducted at source under the Income Tax Ordinance 2001. The payer — an employer, company, bank, or property registrar — deducts a prescribed percentage before paying you and deposits it with the FBR. Depending on the section, the deduction is either adjustable against your final tax liability or treated as final tax.

Rates vary by section and transaction type under the Finance Act 2025. Salary (Section 149) is taxed through progressive slabs from 0% to 35% of annual taxable income. Other sections — dividends, profit on debt, rent, goods, services, contracts, and property transactions — each carry their own rates, which also differ by taxpayer type and Active Taxpayer List status. This calculator applies the current FBR rate card for FY 2025-26 automatically.

The Active Taxpayer List (ATL) is the FBR register of filers. Persons not appearing on the ATL generally suffer significantly higher withholding — for many sections the rate is doubled under the Tenth Schedule of the Income Tax Ordinance 2001. The calculator shows both treatments where a section distinguishes filer status.

Under Section 149, the employer estimates annual taxable salary (including bonus and allowances), applies the progressive slab rates for the tax year to compute the annual tax, then divides by the number of pay periods to arrive at the monthly deduction. This calculator shows the full slab-by-slab breakdown and the per-period deduction.

Adjustable withholding tax is credited against your assessed tax liability when you file your income tax return — any excess can be claimed as a refund from the FBR. Withholding that falls under the final tax regime is not refundable, as it constitutes full and final discharge of tax on that income stream.

The calculator covers 16 withholding categories of the Income Tax Ordinance 2001: imports (148), salary (149), dividends (150), profit on debt (151), payments to non-residents (152), goods, services and contracts (153), digital transactions (153(2A)), exports (154), IT exports (154A), rent (155), prizes (156), commission (233), and property transactions (236C and 236K) — all at Finance Act 2025 rates for FY 2025-26.