Pakistan Corporate Tax Calculator 2026-27 | Business Explore
Pakistan Tax Year 2027

Business Corporate Tax Calculator

Estimate corporate income tax, minimum tax, alternative corporate tax, super tax and net tax payable under Pakistan’s Income Tax Ordinance, 2001.

Finance Act 2026 FY 2026–27 PKR Calculation Single-Page PDF
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Business Explore Corporate Tax Planning Tool
Updated for TY 2027
1

Company information

Select the applicable company category and tax treatment.

Standard company rate under Division II, Part I of the First Schedule.
2

Accounting and taxable income

Reconcile accounting profit with taxable income.

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Examples may include personal, capital or unsubstantiated expenses.
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Enter only losses legally available for set-off in the relevant tax year.
3

Minimum tax and alternative tax

Configure the tax-floor provisions applicable to the company.

Apply minimum tax Turnover-based tax under Section 113
General rate entered as 1.25%. Change it if a reduced sector rate applies.
Apply Alternative Corporate Tax Accounting-income test under Section 113C
Default ACT rate is set at 17% of accounting income.
4

Super tax and tax payments

Calculate Section 4C super tax and net payable balance.

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The calculator compares normal corporate tax, Section 113 minimum tax and Section 113C alternative corporate tax, where selected. The highest applicable amount is used as the tax base before adding super tax.

Important Corporate Tax References

Key provisions commonly considered when calculating corporate taxable income and tax liability in Pakistan.

Section 4

Tax on taxable income

Provides the primary charge of income tax on taxable income at rates prescribed in the First Schedule.

Section 4C

Super tax

Applies super tax to high-earning persons and specified sectors subject to applicable thresholds and rates.

Sections 9–11

Taxable and total income

Covers taxable income, total income and the recognised heads under which income is classified.

Section 18

Income from business

Provides the basis for charging profits and gains derived from carrying on a business.

Sections 20–21

Allowable and disallowable costs

Section 20 covers business deductions while Section 21 identifies expenses that may not be deductible.

Sections 22–24

Depreciation and intangibles

Covers depreciation, initial allowance and amortisation treatment for qualifying business assets.

Sections 28–29

Finance costs and bad debts

Governs the deductibility of profit on debt, financial costs and qualifying bad debts.

Sections 56–59

Set-off and carry-forward of losses

Provides rules for current-year losses, brought-forward business losses and unabsorbed depreciation.

Section 113

Minimum tax on turnover

May require payment of a turnover-based minimum tax where it exceeds tax payable under the normal regime.

Section 113C

Alternative Corporate Tax

Provides an accounting-income-based alternative tax calculation for applicable companies.

Section 114

Return of income

Sets out requirements regarding filing of income tax returns and related statements.

Section 147

Advance tax

Covers payment and calculation of advance income tax instalments during the tax year.

Section 168

Credit for tax collected or deducted

Governs the credit available for adjustable tax deducted or collected at source.

First Schedule

Applicable tax rates

Contains corporate income tax, withholding tax and other prescribed rates for relevant tax years.

Second Schedule

Exemptions and concessions

Contains specified exemptions, reductions, concessions and modifications subject to prescribed conditions.

Professional-use disclaimer: This calculator provides an indicative tax estimate and does not constitute legal, accounting or tax advice. The final liability may be affected by sector-specific minimum-tax rates, exemptions, tax credits, final-tax regimes, group relief, foreign tax credits, depreciation rates, tax losses, banking provisions, provincial taxes, judicial decisions, SROs and amendments issued by the Federal Board of Revenue. Obtain advice from a qualified Pakistan tax professional before filing a return.
FBR Income Tax Ordinance FBR Finance Acts
Pakistan Corporate Tax Planning Calculator
Corporate Tax Estimate
Tax Year 2027 / FY 2026–27
ESTIMATED NET TAX PAYABLE PKR 0

Company and Income Information

Company Not provided
Company category Other company
Applicable rate 29%
Annual turnover PKR 0
Accounting profit before tax PKR 0
Inadmissible expense additions PKR 0
Tax deductions and allowances PKR 0
Other taxable income PKR 0
Exempt/separately taxed income PKR 0
Losses utilised PKR 0
Taxable income PKR 0

Tax Calculation Summary

Normal corporate tax PKR 0
Section 113 minimum tax PKR 0
Section 113C alternative tax PKR 0
Higher applicable base tax PKR 0
Section 4C super tax PKR 0
Gross tax liability PKR 0
Tax credits PKR 0
Advance tax / adjustable WHT PKR 0
Effective tax rate 0.00%
Calculation basis Normal corporate tax
Legal references: Sections 4, 4C, 9–11, 18, 20–30, 53, 56–59, 113, 113C, 114, 147 and 168; First Schedule, Second Schedule and other applicable provisions of the Income Tax Ordinance, 2001.

Disclaimer: This report is an indicative estimate generated for planning purposes. Final tax liability may vary due to sector-specific rates, exemptions, tax credits, special tax regimes, SROs, court decisions, assessment adjustments and subsequent legislative amendments. Professional tax advice should be obtained before filing.

Generated by Business Explore Corporate Tax Calculator. Report date:

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