Corporate Tax Calculator Pakistan 2025-26

The corporate tax calculator Pakistan computes the 2025-26 company tax liability: the 29% standard rate for public companies and 20% for small companies, including the impact of the 9% super-surcharge on large incomes. Enter your annual taxable profit and the calculator shows the tax, the effective rate and the super-surcharge split.

Companies in Pakistan are taxed at a flat rate on their taxable income - 29% for public companies, 20% for small companies with paid-up capital below Rs 100,000,000, and special rates for banking and other sectors. Unlike individuals, there are no slabs, but the super-surcharge of Section 4D adds 9% on incomes above Rs 500,000,000, making the effective top rate 31.61%.

Select the company type - public, private, small company or banking - then enter the annual taxable income. The calculator applies the corresponding rate, adds the super-surcharge where applicable, and breaks the result into base tax and surcharge.

• Choose the company category.
• Enter the annual taxable profit.
• Read the base tax, the 9% super-surcharge and the total.
• Use the toggle to see the effect of the 2025 rates versus older years.

A company taxable profit is charged under Division II of Part I of the First Schedule: a public company pays 29%, a private company larger than the small threshold pays 34%, and a small company with paid-up capital up to Rs 100,000,000 who has not ceased to qualify pays 20%. On top of the base tax, a super-surcharge at 9% of the tax is added when the taxable income exceeds Rs 500,000,000, and a 10% super rate applies to banking companies earning above certain levels.

The tax is computed on the accounting profit as adjusted for tax law - add back non-deductible expenses such as penalties, disallowed entertainment and travel; deduct exempt income and depreciation as per the tax rules. Advance instalments are paid quarterly, and the final return is due by 31 December for standard companies (or 15 December for those with special audit dates) with the final payment due at the same time.

• Apply the relevant flat rate to the taxable income.
• Add the 9% super-surcharge on top of the computed tax when income exceeds Rs 500,000,000.
• The result is the annual corporate tax liability.

A small ERP company in Lahore with paid-up capital of Rs 20,000,000 earns a taxable profit of Rs 60,000,000. Its corporate tax is 20% x 60,000,000 = Rs 12,000,000, payable in quarterly instalments with the final on the return due date.

A listed group company earns taxable income of Rs 650,000,000. Its base tax is 29% x 650,000,000 = Rs 188,500,000, plus a 9% super-surcharge on the portion exceeding 500,000,000 - Rs 9,000,000 - giving a total corporate liability of Rs 197,500,000 for the year.

• Using the 29% public rate for a private company - private companies above the small-company threshold pay 34%.
• Forgetting the super-surcharge - it applies on top of the tax, not on top of income.
• Missing the quarterly advance instalments - late or missed quarterly payments attract default surcharge.
• Over-depreciating - the companies depreciation rules differ from accounting depreciation and the correct treatment requires careful book-tax adjustments.