Tax term

Minimum tax

A minimum liability imposed under specified statutory conditions.

Only certain statutory conditions bring a minimum tax into play, often tied to turnover, a sector or a non-salaried schedule, and it is not a universal rule that every taxpayer owes some fixed amount. The data in this repository covers only the salaried tables for 2025-26 and 2026-27, and the calculator cannot model a provision it has not been given, so the practical risk is importing a salaried answer into a business case. The 2026-27 salaried bands price taxable income of Rs 4,800,000 at Rs 744,000; that figure says nothing useful about a shopkeeper, an AOP or a company with the same amount, whose schedule, allowable expenses and any minimum-tax rule are separate questions. Loss-making years sharpen the difference. Confirm which schedule applies to the actual head of income, read the current First Schedule with FBR, and obtain any minimum figure in writing rather than inferring it from a salary chart.

Check the legal meaning in context and against the relevant tax year.