MS&CO. Management Consultants

Tax Alert · 8 October 2026

Important Reminder for Pakistani IT Freelancers & Exporters!

Are you providing IT, software, or IT-enabled services to foreign clients? Your PSEB registration can help you qualify for the reduced tax rate applicable to eligible IT/IT-enabled service exporters. ✅ Without PSEB Registration: 1% ✅ With PSEB Registration: 0.25% Example

If your qualifying IT export proceeds are Rs. 3,000,000:

At 1%: Rs. 30,000 At 0.25%: Rs. 7,500

💰 Potential difference: Rs. 22,500

The 0.25% reduced rate was introduced for exporters of IT and IT-enabled services registered with Pakistan Software Export Board (PSEB). Eligibility and the applicable tax treatment depend on the nature of services, export proceeds, registration and other legal requirements.

📌 Important: Don't assume that every freelancer automatically qualifies. Your services and export receipts should fall within the applicable IT/IT-enabled services provisions, and the current tax regime should be checked before filing.

Are you registered with PSEB?

#Freelancers #PSEB #FreelancerTax #ITExports #SoftwareExports #PakistanTax #FBR #DigitalPakistan

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