Bank Profit Tax Calculator Pakistan 2026

How tax on bank profit works in Pakistan

When a bank, financial institution or the government pays you profit on a deposit, savings certificate or security, it deducts income tax at source under Section 151 of the Income Tax Ordinance, 2001. For most individuals this deduction is a final tax under Section 7B, so the profit does not get added to your salary or business income.

Non-filers (people not on the Active Taxpayers' List) pay double the filer rate. Getting onto the ATL is the easiest way to halve the tax on your profit. See how to become a tax filer.

Section 151 rates, Tax Year 2027 (FBR rate card)

Rates can differ by account type and are updated each Finance Act. Check the tax certificate your bank issues.

Worked example

You earn Rs 500,000 profit on a government security as a filer individual at 15%. Tax withheld is Rs 75,000 and you receive Rs 425,000. As a non-filer at 30% the tax would be Rs 150,000, which is Rs 75,000 more.

How to use this bank profit tax calculator

Enter the profit your bank or the government paid you, choose the source (a bank deposit, a government security or a Sukuk), and pick whether you are an individual or a company and whether you are a filer. The bank profit tax calculator then applies the Section 151 rate from the FBR rate card and shows the tax withheld and the profit you keep.

• Use the gross profit before tax, not the amount that reached your account.
• If your bank certificate shows a different rate, type it in the optional rate box to match it.
• Run the calculation twice, once as a filer and once as a non-filer, to see how much getting on the ATL saves you.

Savers with large balances or term deposits often find the difference between filer and non-filer rates is bigger than the profit itself, so check your status on the ATL status check page before you renew a deposit.

Frequently Asked Questions

How much tax is deducted on bank profit in Pakistan?

Under Section 151 the rate depends on the type of profit and your status. The FBR rate card for Tax Year 2027 shows 20% for filers and 40% for non-filers on bank deposits, and 15% and 30% in other cases such as government securities paid to individuals.

Is tax on bank profit a final tax?

For most individuals the tax withheld on profit on debt is treated as a final tax, so you do not pay further tax on that profit. Check your own situation with a tax advisor.

Do non-filers pay more tax on bank profit?

Yes. Non-filers pay double the filer rate, for example 40% instead of 20% on bank deposit profit.

How can I reduce tax on my savings profit?

Get on the Active Taxpayers' List by filing your return. That moves you to the filer rate on every withholding tax, not only bank profit.

Where can I see the tax deducted on my account?

Your bank issues a tax deduction certificate and you can see deductions in your IRIS profile once the bank files its withholding statement.