Tax year 2027
Freelancer and IT Export Tax Calculator
Four rates come out of two yes/no facts: whether your PSEB registration is active, and whether you are on the Active Taxpayer List. The gap between the best and worst of them is eightfold on identical income.
We do this for clients:NTN Registration in PakistanIncome Tax Return Filing in PakistanPSEB Registration in Pakistan
Your export income
Gross receipts, before any expense. Nothing you type here leaves your browser.
Section 154A is charged on the receipt itself, so expenses do not come off first.
Enter your export receipts and this works out what your bank deducts under section 154A.
Where these figures come from
- Statutory basis
- Income Tax Ordinance, 2001, as amended by the Finance Act 2026, for tax year 2027 (1 July 2026 to 30 June 2027).
- Last checked against the statute
- by BarrioVibe, which files income tax returns through FBR IRIS.
These figures are an estimate computed from the rates above, not tax advice for your situation. Your return depends on facts a form cannot see, so treat the number as a starting point and speak to us before you file on it.
Read this first
What thisdoes not cover
It is accurate for what it models, and everything below changes the answer. None of it can be handled by a form with a few fields in it.
- Whether your income actually qualifies as an IT or IT-enabled export under section 154A, which is defined by the section rather than by what you call your work
- Whether the tax is final for you, which needs every section 154A condition met including receipt through a bank in Pakistan
- Income from anywhere but eligible exports, which is taxed under the normal rules
- Your business expenses, which do not reduce this: section 154A is charged on gross receipts
- Provincial sales tax on services, which is levied by your province and is separate from this
Questions
The questionspeople ask
How much tax does a freelancer pay in Pakistan?
On eligible IT and IT-enabled exports, between 0.25% and 2% of gross receipts under section 154A, deducted by your bank. Which of the four rates applies turns on two things: whether your PSEB registration is active, and whether you are on the Active Taxpayer List. The best case is eight times cheaper than the worst on identical income.
What does PSEB registration save?
For a filer, it takes the rate from 1% to 0.25%, so three quarters of the tax. On receipts of a few hundred thousand rupees a month that is a substantial annual figure, and the calculator shows exactly what it would be on your own numbers.
Can I deduct my expenses from this?
No. Section 154A is charged on the receipt itself rather than on profit, so your laptop, your internet and your subcontractors do not reduce it. That is a consequence of it being a final tax regime: the rate is low because there are no deductions, not in spite of it.
Is this my final tax?
Only if you meet every section 154A condition, which include receiving the payment through a bank in Pakistan and completing your required filings. Miss one and the income falls back into the normal regime, where it is taxed on the business slabs instead and the arithmetic changes entirely.
Do I still have to file a return?
Yes. Tax being deducted and final is not the same as having filed, and filing is what keeps you on the Active Taxpayer List. Falling off it doubles your section 154A rate, so for a freelancer the cost of not filing is direct and immediate rather than theoretical.
What if I also earn income that is not an export?
That income is taxed under the normal rules, on the business slabs, and is not covered here. Section 154A applies only to eligible IT and IT-enabled export receipts as the section defines them, which is narrower than what many people mean by freelancing.
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Next step
Filing is what keeps the rate low.
Falling off the Active Taxpayer List doubles your section 154A rate. We file returns for freelancers and IT exporters and keep the registration side in order.