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 2025
Step 2: Claim Tax Credit on the investments from your Tax Liability of 2024-2025
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 Rate | Maximum Investment | Tax Credit |
|---|---|---|---|---|---|
| Rs. | Rs. | % | Rs. | Rs. | |
| 1 | 1,200,000 | 30,000 | 2.50 | 240,000 | 6,000 |
| 2 | 2,500,000 | 255,000 | 10.20 | 500,000 | 51,000 |
| 3 | 5,000,000 | 1,015,000 | 20.30 | 1,000,000 | 203,000 |
| 4 | 8,000,000 | 2,065,500 | 25.81 | 1,600,000 | 413,000 |
| 5 | 12,000,000 | 3,811,500 | 31.76 | 2,400,000 | 762,000 |
| 6 | 20,000,000 | 6,891,500 | 34.46 | 4,000,000 | 1,378,300 |
| 7 | 25,000,000 | 8,816,500 | 35.27 | 5,000,000 | 1,763,300 |
| 8 | 50,000,000 | 18,441,500 | 36.88 | 10,000,000 | 3,688,300 |
Non-Salaried Individual
| S.No | Annual Taxable Income | Tax Amount | Effective Tax Rate | Maximum Investment | Tax Credit |
|---|---|---|---|---|---|
| Rs. | Rs. | % | Rs. | Rs. | |
| 1 | 1,200,000 | 90,000 | 7.50 | 240,000 | 18,000 |
| 2 | 2,500,000 | 440,000 | 17.60 | 500,000 | 88,000 |
| 3 | 5,000,000 | 1,370,000 | 27.40 | 1,000,000 | 274,000 |
| 4 | 8,000,000 | 2,690,000 | 33.63 | 1,600,000 | 538,000 |
| 5 | 12,000,000 | 4,939,000 | 41.16 | 2,400,000 | 987,800 |
| 6 | 20,000,000 | 8,899,000 | 44.50 | 4,000,000 | 1,779,800 |
| 7 | 25,000,000 | 11,374,000 | 45.50 | 5,000,000 | 2,274,800 |
| 8 | 50,000,000 | 23,749,000 | 47.50 | 10,000,000 | 4,749,800 |
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.