Tax year 2027
Rental Income Tax Calculator
Rent is taxed in steps on the total for the year, and your tenant deducts it before paying you. A private tenant only has to withhold above a threshold; a company or government tenant withholds from the first rupee.
We do this for clients:Income Tax Return Filing in Pakistan
Your rent
Tax your tenant withholds under section 155. Nothing you type here leaves your browser.
Enter the rent and this works out what your tenant withholds under section 155.
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.
- Repairs, property tax, insurance and the other deductions allowable against property income, which reduce what you finally owe
- Rent from more than one property, which is added together before the bands are applied
- Whether your tenant is a prescribed person required to withhold at all
- Your other income for the year, which the withheld tax is ultimately adjusted against
- Provincial property tax, which your province levies separately from this
Questions
The questionspeople ask
How much tax is deducted from rent in Pakistan?
For a person, it is charged in steps on the rent for the whole year: nothing on the first Rs 300,000, then 5%, then Rs 15,000 plus 10%, and Rs 155,000 plus 25% above Rs 2,000,000. A non-filer is withheld at exactly double at every band. A company landlord pays a flat 15%.
Does my tenant have to deduct it?
A company, a government office or a similar prescribed person deducts from the first rupee. A private individual renting from you only has to deduct once the rent they pay reaches Rs 1,500,000 in a year. Below that nothing is withheld, but the rent is still taxable and still belongs on your return.
Is this the final tax on my rent?
No, it is tax withheld. Rental income is taxed as part of your total income, and the deductions allowable against property income can bring the final figure below what was withheld. The difference is claimed on your return.
I have two rented properties. How does that work?
The rents are added together and the bands applied to the total, not to each property separately. Two properties at Rs 900,000 each are taxed as Rs 1,800,000, which reaches a higher band than either would alone.
What can I deduct against rental income?
Repairs, property tax, insurance, ground rent and certain other expenses of the property are allowable against rental income under the Ordinance. None of them is in this calculator, which shows what your tenant withholds rather than what you finally owe.
Also here
Other calculatorsfor this
Property Sale Tax
Advance tax deducted from the seller under section 236C. It falls on the whole transfer value, which is why a sale at a loss still attracts it.
Property Capital Gains
Tax on the profit from selling a property, with the section 236C already deducted credited against it. When you bought decides everything.
Salary Tax Calculator
Your monthly take-home on the FBR salary slabs for any tax year from 2012-13 to 2026-27, with EOBI, provident fund, Zakat and pension relief, and the slab-by-slab working shown.
Next step
Withheld is not the same as owed.
Repairs, property tax, insurance and other allowable deductions can bring your final liability below what your tenant withheld. The difference comes back on a return. We file them.