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What is Tax Credit?

You can avail Tax Credit on your investments in AL Habib Funds up to Rs. 2,000,000 or 20% of your annual taxable income (whichever is lower). Therefore, you can enjoy dual benefit of saving tax as well as the potential to earn attractive returns by investing in our funds. Our professional investment managers will provide you with individualized consultation to grow your tax efficient savings that outperforms inflation. Your savings today will help you achieve your goals tomorrow.

Step 1: Invest in AL Habib Pension Fund and AL Habib Islamic Pension Fund up to your tax ceiling before 30th June 2026
Step 2: Claim Tax Credit on the investments from your Tax Liability of 2025-2026

How To Get Tax Credit Facility

To claim your tax credit amount you just need to do following:

1. As a Salaried individual, you can inform your HR or Finance Department about your investments by submitting the account statement to adjust your tax credit amount from the monthly income tax deductions.
2. As a Self-employed individual you can adjust your tax payable by showing investment in your wealth statement at the time of Income tax return filing.

The benefits shown in the following tables are calculated as an illustration based on maximum Investments subject to respective income brackets as defined in ITO, 2001.

Salaried Individual

S.No Annual Taxable Income Tax Amount Effective Tax RateMaximum Investment Tax Credit
Rs.Rs. % Rs. Rs.
1 1,200,000 6,000 0.50240,000 1,200
2 2,500,000 185,000 7.40500,000 37,000
3 5,000,000 931,000 18.621,000,000 186,200
4 8,000,000 1,981,000 24.761,600,000 396,200
5 12,000,000 3,685,290 30.712,400,000 737,058
6 20,000,000 6,737,290 33.694,000,000 1,347,458
7 25,000,000 8,644,790 34.585,000,000 1,728,958
8 50,000,000 18,182,290 36.3610,000,000 3,636,458

Non-Salaried Individual

S.No Annual Taxable Income Tax Amount Effective Tax RateMaximum Investment Tax Credit
Rs.Rs. % Rs. Rs.
1 1,200,000 90,000 7.50240,000 18,000
2 2,500,000 440,000 17.60500,000 88,000
3 5,000,000 1,370,000 27.401,000,000 274,000
4 8,000,000 2,690,000 33.631,600,000 538,000
5 12,000,000 4,894,100 40.782,400,000 978,820
6 20,000,000 8,818,100 44.094,000,000 1,763,620
7 25,000,000 11,270,600 45.085,000,000 2,254,120
8 50,000,000 23,533,100 47.0710,000,000 4,706,620

As per section 63 of the income tax ordinance 2001, an eligible person joining AL Habib Pension Fund and AL Habib Islamic Pension Fund can avail tax credit up to 20% of the (eligible) person's taxable income for the relevant tax year. This information is for general purpose only. In view of Individual nature of tax consequences each investor is advised to consult with his/her tax advisor with respect to specific tax consequences of investing in the Fund.