INCREASE IN INCOME TAX RATES FOR NON-CORPORATE TAXPAYERS
The rate of income tax for tax year 2024 and onwards has been increased as under:
- For salaried individuals flat increase of 2.5% in the tax rates applicable on earning more than Rs 2.4 Million per annum with highest slab rate of 35% starting from Rs 6 Million per annum (previously Rs 12 Million).
| Table – 1 (Income Tax Rates Changes for Salaried Individuals) | ||
| Taxable Income | For Tax Year – 2023 | Tax Year – 2024 |
| 0 – 600,000 | 0% | 0% |
| 600,000 – 1,200,000 | 2.5% of exceeding 600,000 | 2.5% of exceeding 600,000 |
| 1,200,000 – 2,400,000 | 15,000 + 12.5% of exceeding 1,200,000 | 15,000 + 12.5% of exceeding 1,200,000 |
| 2,400,000 – 3,600,000 | 165,000 + 20% of exceeding 2,400,000 | 165,000 + 22.5% of exceeding 2,400,000 |
| 3600000 – 6,000,000 | 405,000 + 25% of exceeding 3,600,000 | 435,000 + 27.5% of exceeding 3,600,000 |
| 6,000,000 – 12,000,000 | 1,005,000 + 32.5% of exceeding 6,000,000 | 1,095,000 + 35% of exceeding 6,000,000 |
| Exceeding 12,000,000 | 2,955,000 + 35% of exceeding 12,000,000 | |
- For non-salaried individuals and AOPs Flat increase of 2.5% in the tax rates applicable on earning more than Rs 600,000 per annum with highest slab rate of 35% starting from Rs 4 Million (previously Rs 6 Million).
| Table – 2 (Income Tax Rates Changes For Non-Salaried Individuals & AOP) | ||
| Taxable Income Slabs | Tax Year – 2023 | Tax Year – 2024 |
| 0 – 600,000 | 0% | 0% |
| 600,000 – 800,000 | 5% of exceeding 600,000 | 7.5% of exceeding 600,000 |
| 800,000 – 1,200,000 | 10,000 + 12.5% of exceeding 800,000 | 15,000 + 15% Exceeding 800,000 |
| 1,200,000 – 2,400,000 | 60,000 + 17.5% of exceeding 1,200,000 | 75,000 + 20% of exceeding 1,200,000 |
| 2,400,000 – 3,000,000 | 270,000 + 22.5% of exceeding 2,400,000 | 315,000 + 25% of exceeding 2,400,000 |
| 3,000,000 – 4,000,000 | 405,000 + 27.5% of exceeding 3,000,000 | 465,000 + 30% of exceeding 3,000,000 |
| 4,000,000 – 6,000,000 | 680,000 + 32.5% of exceeding 4,000,000 | 765,000 + 35% of exceeding 4,000,000 |
| Exceeding 6,000,000 | 1,330,000 – 35% of exceeding 6,000,000 | |
