How to use the sales tax calculator
- 1 Enter the amount.
- 2 Choose whether the amount is without tax or including tax.
- 3 Check the rate, 18% standard.
- 4 Read the tax and the totals.
Worked example
A product priced at Rs 10,000 before tax. At 18%, sales tax is Rs 1,800, so the price with tax is Rs 11,800. Going the other way, Rs 11,800 divided by 1.18 brings you back to Rs 10,000.
Sales tax on goods and services
- Goods: federal sales tax of 18% applies to most goods; some items carry reduced rates, exemptions or fixed amounts.
- Services: each province collects its own sales tax on services, and the rate depends on the service.
- Removing tax: divide the tax-inclusive price by 1.18. Taking 18% off the total gives the wrong answer.
- Input tax: registered businesses can usually deduct the sales tax they paid on purchases from the tax they charge.
Electricity bills also carry 18% GST; see a full bill with the Electricity Bill Calculator. Running a business? Add income tax with the Business Income Tax Calculator.
Features
Add or remove
Works forward from a base price or backwards from a tax-inclusive price.
Standard 18%
The general sales tax rate on goods.
Any rate
Change the rate for provincial sales tax on services or reduced rates.
When to use it
Invoices
Show the correct sales tax on a bill. Add income tax with the Business Income Tax Calculator.
Shopping
Find the price before tax on a receipt. GST on your bill is in the Electricity Bill Calculator.
Quotations
Quote tax-inclusive prices to customers. Buying on qist? Check the Installment Plan Calculator.
Restaurants and services
Use provincial service tax rates. Buying gold? Use the Gold Price Calculator.
Related Tax tasks
Frequently asked questions
What is the sales tax rate in Pakistan?
The standard federal sales tax on goods is 18%. Some goods have reduced rates or exemptions.
How do I remove 18% GST from a price?
Divide the price by 1.18. A Rs 11,800 price includes Rs 1,800 of tax.
What is provincial sales tax on services?
Provinces tax services: for example Punjab, Sindh, KP and Balochistan each set their own rates, often 15% to 16%, with lower rates for some services.
Is sales tax charged on electricity bills?
Yes, 18% GST is charged on electricity bills.
Do retailers have to charge GST?
Tier-1 retailers must be integrated with FBR's point-of-sale system and charge GST on sales.
Can businesses claim input tax?
Registered businesses can usually claim input tax paid on purchases against output tax on sales.
What is the difference between GST and income tax?
Sales tax is charged on goods and services when you buy them, while income tax is charged on what you earn.
Do I pay sales tax on online shopping?
Yes. Sales tax is usually included in prices on online stores and should appear on the invoice.
What is further tax?
An extra 4% sales tax charged when a registered business sells to an unregistered buyer in some cases.
Who must register for sales tax?
Manufacturers, importers, wholesalers and large retailers above set thresholds must register with FBR and file monthly sales tax returns, charging tax on their sales and claiming tax paid on their purchases.
Why do some receipts show a lower rate?
Some goods carry reduced rates or are exempt under the sales tax schedules, and some services are taxed by provinces at their own rates, so not every receipt shows eighteen percent.
Results are estimates based on the official rates linked above. Confirm important figures with the issuing authority or a qualified adviser before you act on them.
Built and reviewed by Hamza Farooq, founder and lead developer
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