Agricultural Income Tax Calculator

The agricultural income tax calculator Pakistan is the reference tool for farmers and landlords holding agricultural land. Enter your estimated crop income and expenses for the year, and the calculator applies the provincial agricultural income tax slab rates - those of Punjab, Sindh, Khyber Pakhtunkhwa and Balochistan - to show the tax you owe to the provincial revenue authority.

Agricultural income is exempt from federal income tax under the Income Tax Ordinance 2001, but each province taxes it separately under its own Agricultural Income Tax Act, with rates now aligned to the federal slabs. For 2025-26, the rates step from zero up to 45% for high earners, and the exemption threshold has moved in line with federal policy.

Select your province, then enter your estimated annual agricultural income - the value of crops and produce you expect to sell - and your related expenses (seed, fertiliser, labour, machinery fuel and similar costs). The calculator subtracts expenses from income and applies the province rates to the net figure.

• Pick your province from the segmented control.
• Enter expected crop income and cultivation expenses.
• Read the net agricultural income and the provincial tax due.
• Try higher or lower inputs to understand the marginal rate you face.

The rates shown are the 2025-26 provincial schedules. Since the provinces align their thresholds with the federal government each budget, always confirm the current year table before filing.

Each province computes agricultural income as crop produce valued at market rates minus allowable cultivation expenses. The Agricultural Income Tax rates for 2025-26 mirror the federal non-salaried schedule: income up to Rs 600,000 is exempt; Rs 600,001 to Rs 1,200,000 is taxed at 15%; Rs 1,200,001 to Rs 2,400,000 at 20%; Rs 2,400,001 to Rs 3,000,000 at 25%; Rs 3,000,001 to Rs 4,000,000 at 30%; Rs 4,000,001 to Rs 6,000,000 at 35%; and above Rs 6,000,000 at 45%.

A resident individual is liable in the province where the land is situated. Companies holding agricultural land are charged at a flat 45% where applicable, and the tax is a final charge - it cannot be set off against federal income tax because the two systems are separate.

• Gross produce is valued at ruling market prices.
• Cultivation expenses are deducted to reach net agricultural income.
• The province slab table is applied to the net figure.
• The result is the annual provincial tax payable.

A wheat and sugarcane farmer in Sahiwal expects produce worth Rs 2,800,000 next season, against cultivation costs of Rs 1,300,000, giving a net agricultural income of Rs 1,500,000. The Punjab schedule charges nil on the first Rs 600,000, 15% of the next Rs 600,000 (Rs 90,000) and 20% of the remaining Rs 300,000 (Rs 60,000) - a total provincial tax of Rs 150,000.

An orchard owner with a net agricultural income of Rs 8,000,000 reaches the top bracket: Rs 1,480,000 fixed on the first Rs 6,000,000 plus 45% of the Rs 2,000,000 excess (Rs 900,000) - a total of Rs 2,380,000.

• Assuming agricultural income is completely tax-free - it is exempt from federal tax but chargeable to provincial agricultural income tax.
• Using the federal slab table without checking the provincial schedule - the provinces set their own acts, though the rates are aligned.
• Forgetting to deduct genuine cultivation expenses - only net income is taxed.
• Ignoring the agriculture-to-non-agriculture aggregation - when farm produce is traded beyond the farm gate, profits can become ordinary business income.