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Asia Common Law 68+ treaties

Start your company Pakistan

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Why Pakistan?

IT and ITeS export companies

Pakistan Software Export Board registered exporters pay a 0.25% final tax on export proceeds through June 2026, rising to 1% thereafter. SBP allows IT exporters to retain 50% of proceeds in USD Exporters Special Foreign Currency Accounts for direct international payments.

0.25% export taxPSEB registration50% USD retention

English language engineering back offices

Pakistan has 240M people, English administrative language across SECP, FBR, and courts, and a common law system inherited from the UK. Karachi, Lahore, and Islamabad host growing engineering talent pools at significantly lower costs than India or the Philippines.

English filingsCommon lawEngineering talent

Small companies with PKR 250M turnover or below

Small Company status under the Income Tax Ordinance 2001 caps CIT at 20% versus the 29% standard rate. Combined with the 0.25% IT export regime and 68 double tax treaties, founders can structure efficient cross border operations from Pakistan.

20% small co rate68 DTAsITO 2001

Considerations

If you need Stripe, Wise, or Mercury

Stripe, Mercury, and Wise do not support PKR business accounts, and SBP foreign exchange repatriation requires bank approvals with supporting documentation. Most tech founders pair a Pakistani operating company with a Delaware or Singapore parent for international receipts.

No Stripe/Mercury PKRSBP FX approvalsDual entity structuring

If you operate in crypto or digital assets

The State Bank of Pakistan has prohibited regulated financial institutions from facilitating cryptocurrency transactions since April 2018. A Virtual Assets Regulatory Authority bill is under development, but founders should not assume a near term licensed pathway exists for VASPs.

SBP crypto banVARA bill pendingNo exchange rails
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