Islamabad: The government has introduced new income tax rates for businessmen, along with the revised slabs for individuals and association of persons (AOPs) under the amended Finance Bill 2023, according to news published on June 25.
The new income tax rates for businessmen are as follows:
For taxable income exceeding PKR 600,000 but not exceeding PKR 800,000, the tax rate is 7.5% of the amount exceeding PKR 600,000.
For taxable income exceeding PKR 800,000 but not exceeding PKR 1,200,000, the tax rate is PKR 15,000 plus 15% of the amount exceeding PKR 800,000.
For taxable income exceeding PKR 1,200,000 but not exceeding PKR 2,400,000, the tax rate is PKR 75,000 plus 20% of the amount exceeding PKR 1,200,000.
For taxable income exceeding PKR 2,400,000 but not exceeding PKR 3,000,000, the tax rate is PKR 315,000 plus 25% of the amount exceeding PKR 2,400,000.
For taxable income exceeding PKR 3,000,000 but not exceeding PKR 4,000,000, the tax rate is PKR 465,000 plus 30% of the amount exceeding PKR 3,000,000.
For taxable income exceeding PKR 4,000,000, the tax rate is PKR 765,000 plus 35% of the amount exceeding PKR 4,000,000.
These new income tax rates for businessmen, along with the revised slabs for individuals/AOPs, have been implemented to ensure a fair and progressive taxation system while generating additional revenue for the government.
Iqra holds BS in International Relations and is passionate about writing engaging content on trending real estate topics. When not working, she is either spending time with family, shopping, or discussing shows & movies.
