Finance Minister Muhammad Aurangzeb presented the budget for the fiscal year 2025-2026 in the National Assembly on Tuesday.

Under the watchful eye of the International Monetary Fund, the government projected growth of 4.2 per cent and set an ambitious tax collection target at Rs14,131 billion, an 8.95pc increase from last year’s goal.

The government had earlier promised relief for the salaried class in the next fiscal year. Use the calculator to ascertain how much you will be paying in taxes for the FY25-26.

*The calculator has been updated to reflect a revised rate of 2.5% on annual income exceeding Rs600,000 up to Rs1.2 million. The federal cabinet’s decision to increase government workers’ salaries by 10pc — up from the originally proposed 6pc — necessitated a change in the income tax rate for this bracket, finance ministry officials said in their post-budget press conference. The rate was initially supposed to be reduced to 1pc, as printed in the Finance Bill, but was later increased to 2.5pc to cover the larger increase in government workers’ salaries.