Understanding Vehicle Token Tax in Pakistan
Vehicle token tax is an annual provincial levy charged by the Excise and Taxation Department of each province on every registered vehicle. It must be paid every year regardless of whether the vehicle is used or not. The tax is calculated based on the engine capacity (cc) of the vehicle, with higher-capacity engines attracting higher token tax rates. Token tax is separate from motor vehicle registration fees (paid once at the time of registration) and from federal income tax on vehicle-related business activities.
For the tax year 2026-27, Punjab and Sindh have updated their token tax schedules. The filer rates are unchanged from 2025-26, but the non-filer surcharge has been formally fixed at 3x the standard rate — meaning non-filers pay triple what filers pay for the same vehicle. This makes filer status particularly valuable for vehicle owners, as the annual savings on a single 1300cc car (Rs. 5,000 per year) more than pays for the small effort of filing an annual return.
Punjab Token Tax Schedule (2026-27)
Punjab Excise and Taxation Department has set the following annual token tax rates: Up to 800cc: Rs. 1,000 (filer) / Rs. 3,000 (non-filer). 801-1000cc: Rs. 1,500 / Rs. 4,500. 1001-1300cc: Rs. 2,000 / Rs. 6,000. 1301-1500cc: Rs. 2,500 / Rs. 7,500. 1501-1800cc: Rs. 3,500 / Rs. 10,500. 1801-2500cc: Rs. 5,000 / Rs. 15,000. Above 2500cc: Rs. 7,500 / Rs. 22,500. Motorcycles up to 100cc: Rs. 200 / Rs. 600. 101-150cc: Rs. 500 / Rs. 1,500. Above 150cc: Rs. 1,000 / Rs. 3,000.
Sindh Token Tax Schedule (2026-27)
Sindh Excise Department rates are similar to Punjab but with some category differences. Up to 800cc: Rs. 1,200 / Rs. 3,600. 801-1000cc: Rs. 1,800 / Rs. 5,400. 1001-1300cc: Rs. 2,200 / Rs. 6,600. 1301-1500cc: Rs. 2,800 / Rs. 8,400. 1501-1800cc: Rs. 3,800 / Rs. 11,400. 1801-2500cc: Rs. 5,500 / Rs. 16,500. Above 2500cc: Rs. 8,000 / Rs. 24,000. Sindh motorcycle rates follow a similar 200cc-band structure.
How to Pay Token Tax Online
Punjab token tax can be paid online through the Punjab Excise and Taxation Department portal at excise.punjab.gov.pk. Log in with your CNIC, select the vehicle registration number, and the system shows the outstanding tax. Payment can be made through any major bank, JazzCash, Easypaisa, or 1Link ATM. Sindh vehicle tax is paid through the Sindh Excise portal at excise.gos.pk with a similar flow. Payment receipts are generated instantly and should be retained as proof of payment.
The recommended deadline for token tax payment is 30 September each year. Payments made after this date attract a monthly surcharge (typically 1-2% per month on the unpaid amount) plus a fixed penalty that varies by province. The vehicle registration can also be flagged during transfer or renewal, blocking the transfer until the outstanding tax plus surcharge is cleared.
Frequently Asked Questions
How is vehicle token tax calculated in Punjab?
Token tax is calculated based on engine capacity (cc). A 1000cc car pays Rs. 1,500 annually, while a 1300cc car pays Rs. 2,500. Non-filers pay 3x the standard rate.
What is the token tax rate for non-filers?
Non-filers pay 3x the standard rate. For a 1300cc car filer pays Rs. 2,500; non-filer pays Rs. 7,500.
Is token tax the same in all provinces?
No, rates differ by province. This calculator covers Punjab and Sindh. KPK and Balochistan have separate schedules.
What happens if token tax is not paid on time?
Late payment attracts a monthly surcharge (1-2% per month) plus a fixed penalty. The vehicle registration can be flagged during transfer or renewal.
Can token tax be paid online?
Yes. Punjab: excise.punjab.gov.pk. Sindh: excise.gos.pk. Payment can be made through banks, JazzCash, Easypaisa, or 1Link ATM.
Does token tax apply to motorcycles?
Yes. Motorcycle token tax follows a separate slab structure based on engine cc, with rates significantly lower than cars.