What is withholding tax (WHT) and why does it matter for Pakistani freelancers
Withholding tax is a portion of your payment that gets deducted and deposited to FBR on your behalf, at 10% for filers and 12% for non-filers on export of services under current Pakistan tax rules. Showing it on your invoice upfront avoids surprises when the client (or your bank/payment processor) deducts it before you receive payment.
Why show both USD and PKR on the same invoice
International clients think in their own currency (usually USD), but you need to track income and taxes in PKR. Showing both on one invoice avoids back-and-forth conversion questions from clients and gives you a PKR figure ready for your own records, using a live exchange rate rather than a stale one.
Track what you actually get paid
An invoice shows what you billed — Outlay tracks what actually lands in your account after WHT and payment-processor fees, so your real income stays accurate, not just your invoiced total.