Motor Vehicle Tax:
Motor vehicle tax refers to the government-imposed tax that vehicle owners must pay to legally operate their vehicles. This tax includes components like token tax, income tax, and professional tax, depending on the vehicle type and category.
Types of Taxes/Fees:
1. New Registration Rates
2. Luxury Tax Rates
3. Transfer Fee Rates
4. Token Tax Rates for Motor Cars
5. Charges for Other Post-Transaction Services
6. Security Fee Rates
7. Capital Value Tax (CVT) Rates
8. One-Time Withholding Tax Rates (Applicable at Registration for Local Cars)
9. Motor Tax Rates for Commercial Vehicles
10. Income Tax Rebates on Token Tax
New Registration:
| Motorcycle / Scooter: | |
| Up to 70 cc | PKR. 1,000 |
| 71 to 100 cc | PKR. 1,500 |
| 101 to 125 cc | PKR. 2,000 |
| 126 to 150 cc | PKR. 2,500 |
| Above 150 cc | 2% of the value of the vehicle |
| Tractors, Trucks, Buses, Rickshaws, and Taxies | 1% of the value of the vehicles |
| Combined Harvesters, Rigs, Fork Lifters, Road Rollers, Excavators, etc. | PKR. 300/- each |
| Others: | |
| Not exceeding 1000cc | 1% |
| Exceeding 1000cc but not more than 1500cc | 2% |
| Exceeding 1500cc but not more than 2000cc | 3% |
| Exceeding 2000cc | 4% |
Rates of Transfer Fee:
| Motorcycle / Scooter | PKR. 150/- |
| Heavy Transport Vehicle (HTV) | PKR. 4000/- |
| Others: | |
| Not exceeding 1000cc | PKR. 1200/- |
| Exceeding 1000cc but ≤ 1800cc | PKR. 2000/- |
| Exceeding 1800cc | PKR. 3000/- |
● For motorcycles transferred within ten years of registration, a fee of Rs. 1,500 is charged, with a 10% rebate applied for each financial year since registration.
● For vehicles with engine power up to 1000cc, transferred within ten years of registration, a fee of Rs. 20,000 is charged, with a 10% rebate applied for each financial year since registration.
Rates of Token tax, Income Tax, Professional Tax for Motor Car:
| Engine Capacity | Token Tax (MVT Local Vehicles) | Income Tax (2021-22) | Professional Tax |
|---|---|---|---|
| Filer | Non-Filer | ||
| Motorcycle (at registration) | 1500 | — | 200 |
| Motor Cars: | |||
| 1000 CC | 15000 | 10000 | 20000 |
| 1000 to 1199 CC | 1800 | 1500 | 8000 |
| 1200 to 1299 CC | 1800 | 1750 | 8500 |
| 1300 CC | 1800 | 2500 | 5000 |
| 1301 to 1499 CC | 5000 | 2500 | 5000 |
| 1500 CC | 5000 | 3750 | 7500 |
| 1501 to 1599 CC | 9000 | 3750 | 7500 |
| 1600 to 1999 CC | 9000 | 4500 | 9000 |
| 2000 CC | 9000 | 10000 | 20000 |
| 2001 to 2500 CC | 12000 | 10000 | 20000 |
| 2500 and above | 15000 | 10000 | 20000 |
Rates of Other Post transaction:
| Category | Rates |
|---|---|
| Fee for Alteration in a Motor Vehicle | |
| Transport Vehicle | PKR. 3000/- |
| Other Vehicles | PKR. 1500/- |
| Issuance of Duplicate Registration Certificate | |
| Motorcycles & Cars | PKR. 500/- |
| HTV, Rickshaws & Others | PKR. 1000/- |
| Endorsement of Hire Purchase Agreement | |
| Motorcycle, Scooter, etc. | PKR. 150/- |
| HTV | PKR. 4000/- |
| Others: | |
| – Up to 1000cc | PKR. 1200/- |
| – Exceeding 1000cc but ≤ 1800cc | PKR. 2000/- |
| – Exceeding 1800cc | PKR. 3000/- |
Rates of Security Feature Items:
| Category | Rates |
|---|---|
| Number Plates | |
| Motorcycles, Rickshaws | PKR. 1500/- |
| Motorcars / Commercial | PKR. 2000/- |
| Data Embedded Card (Smart Card) | |
| Motorcycles | PKR. 530/- |
| Motorcar, HTV, Rickshaws & Others | PKR. 530/- |
| T.O. Form (All Vehicles) | PKR. 300/- |
Capital Value Tax (CVT):
It is basically a tax imposed by the government on the transfer of ownership of immovable property, including vehicles.
Applies on Every Transfer:
Starting from July 1, 2022, CVT is levied on all types of ownership changes, regardless of the reason for the transfer.
Applies in Non-Resident (NR) Cases:
This ensures that non-residents are also subject to the tax when dealing with vehicle ownership.
Category of vehicle:
It is applied on all categories of vehicle with CC>1300.
Time Period:
5 years from 1-July of the preceding financial year of the date of registration. (after 6 years it will be zero)
Rate of CVT:
Rate of tax will be 1% of the value of the vehicle along with 10% depreciation in value of the vehicle in every year will be applied.
Rates of Withholding Tax with effect from 1st July 2022:
| Engine Capacity | Filer | Non-Filer | Fiber | Non-Fiber |
|---|---|---|---|---|
| Up to 850 CC | 10,000 | 30,000 | — | — |
| 851 to 1000 CC | 20,000 | 80,000 | 5,000 | 15,000 |
| 1001 to 1300 CC | 25,000 | 75,000 | 7,500 | 22,500 |
| 1301 to 1600 CC | 50,000 | 15,000 | 12,500 | 37,500 |
| 1601 to 1800 CC | 150,000 | 450,000 | 18,750 | 56,250 |
| 1801 to 2000 CC | 200,000 | 800,000 | 25,000 | 75,000 |
| 2001 to 2500 CC | 300,000 | 900,000 | 37,500 | 112,500 |
| 2501 to 3000 CC | 400,000 | 1,200,000 | 50,000 | 150,000 |
| 3000 and above | 500,000 | 1,500,000 | 82,500 | 187,000 |
Rates of Motor Tax on Commercial Vehicles:
| Description of Motor Vehicles | Annual Rate of Tax |
|---|---|
| Vehicles (including delivery vans) with maximum laden capacity up to 4060 kg | |
| Vehicles with maximum laden capacity exceeding 4060 kg but not exceeding 8120 kg | PKR. 00/- |
| Vehicles with maximum laden capacity exceeding 8120 kg but not exceeding 12000 kg | PKR. 4000/- |
| Vehicles with long trailers or other vehicles with maximum laden capacity exceeding 12000 kg but not exceeding 16000 kg | PKR. 6000/- |
| Vehicles with long trailers or other vehicles with maximum laden capacity exceeding 16000 kg | PKR. 8000/- |
| Vehicles drawing other trailers (Appropriate rate from above plus) | PKR. 400/- |
| Commercial Tractor Tax | Token Tax: PKR. 2600/- |
| Professional Tax: PKR. 200/- | |
| Income Tax: PKR. 7200/- |
Rates of Motor Tax on Commercial Passenger Vehicles:
| Type of Motor Vehicles | Annual Rate of Tax |
|---|---|
| Plying for hire and ordinarily used for the transport of passengers (Taxi & Buses) | |
| Tricycles propelled by mechanical power (Motor Cab Rickshaws/Motorcycle Rickshaw) | PKR. 3000/- lump sum (one-time payment) |
| – Seating capacity: Not more than 3 persons or 6 persons | |
| Vehicles plying for hire with 60% of the route within Corporation/Municipality/Cantonment limits | PKR. 140/- per seat (per annum) |
| Passenger vehicles (seating capacity > 6 persons) plying for hire exclusively within Corporation/Municipality/Cantonment limits: | |
| Non Air-Conditioned | PKR. 180/- per seat (per annum) |
| Air-Conditioned | PKR. 300/- per seat (per annum) |
Passenger Vehicle With-Holding Tax with Effect from 1st July 2023
| With Holding Tax (New Registration)with effect from 1st July 2022 | With Holding Tax (Transfer of Ownership)with effect from 1st July 2022 | |||
| Seating Capacity | Filer | Non filer | Filer | Non Filer |
| 4-9 500 | 500 | 1,000 | 1,000 | 2,000 |
| 10-19 | 1,500 | 3,000 | 2,000 | 4,000 |
| >=20 | 2,500 | 5,000 | 4,000 | 8,000 |
Note: Provided that the rate of tax to be collected under sub-section (2) of section 231B, shall be reduced by 10% each year from the date of first registration in Pakistan.
The rate of WITH-HOLDING TAX under sub-section (2A) of section 231B Income Tax Ordinance 2001, with effect from 1st July 2022, shall be as follows:-
| CC- Range | WHT -Filer | WHT-Non-Filer |
| Up to 1000cc | 100,000 | 300,000 |
| 1001 cc to 2000cc | 200,000 | 600,000 |
| 2001 cc and above | 400,000 | 1,200.000 |
Note: Sub-Section (2A) inserted by the Finance Act, 2021. Earlier sub-section (2A) was inserted through
Tax Laws (Amendment) Ordinance, 2021.
Rates of Motor Tax on Commercial Motor Cabs:
| Description of Motor Vehicles | Annual Rate of Tax |
|---|---|
| Vehicles with seating capacity ≤ 6 persons (Motor Cabs): | |
| – Not exceeding 1000cc | PKR. 700/- |
| – Exceeding 1000cc but ≤ 1300cc | PKR. 1200/- |
| – Exceeding 1300cc but ≤ 1500cc | PKR. 2000/- |
| – Exceeding 1500cc but ≤ 2000cc | PKR. 3000/- |
| – Exceeding 2000cc but ≤ 2500cc | PKR. 4000/- |
| – Exceeding 2500cc | PKR. 5000/- |
| Vehicles with seating capacity > 6 persons: | |
| – Non Air-Conditioned | PKR. 180/- per seat |
| – Air-Conditioned | PKR. 300/- per seat |
Note:
- For motor cabs, tax is based on engine capacity.
- For larger passenger vehicles, tax is calculated per seat.
- Air-conditioned vehicles have a higher tax rate than non-AC ones.
The seating capacity for the purpose of this clause will not account for the seats meant for driver and conductor.
Rates of Motor Tax on Private Vehicles
It includes vehicles with seating capacity of more than 6 persons.
| Other than buses and station wagons not plying for hire | PKR. 2500/- per seat p.a |
| Buses and station wagons not plying for hire | PKR. 300/- per seat p.a |
| Rates of Income Tax | Top |
| Category | Rate of Income Tax | |
| FIler | Non-Filer | |
| Goods Transport ( Laden Weight ) | 2.5 Per Kg | 7.5 Per Kg |
| Passenger Transport plying on hire | PKR. 500/- per seat per annum | |
| Rebate in Token Tax: | Top |
A rebate of 10% of the amount of annual token tax is allowed only when you pay the tax for the whole year and before 31st of August of the financial year
● A discount of 5% is given when paid through EPay
Additional Fee on New Registration:
1. In case a motor vehicle is not registered within prescribed period after import, sale, clearance or release of vehicle from the custom authorities or local manufacturer, the additional fee shall be:
| Category | Default Period | Amount of additional fee (PKR.) |
| Motorcycles / Scooters/ Rickshaws | Exceeding 30 days | PKR. 500/- |
| Private & Commercial Vehicles | Exceeding 60 days but not exceeding 180 days | PKR. 2,000/- |
| Exceeding 180 days | PKR. 5,000/- |
2. In case of registration of tractors exclusively used for agricultural purposes.
| Description of fee | Enhanced rate |
| Exceeding 180 days but not exceeding 240 days | 125% of the actual fee |
| Exceeding 240 days but not exceeding 360 days | 150% of the actual fee |
| Exceeding 360 days | 200% of the actual fee |
Explanations:
- The additional fee shall not be applicable in case of motor Vehicles owned by the Federal or Provincial Government and autonomous bodies under the administrative control of the Federal or a Provincial Government
- In case of vehicles imported in bulk by manufacturing or assembling companies or authorized distributors, the date of sale by their authorized dealers or distributors would be considered for calculation of the days for registration of vehicles
- For transport vehicles, the date of issuance of fitness certificate by the Motor Vehicle Examiner would be considered as the date for calculation of days for registration of such vehicles
| Description of Fee | Enhanced Rate |
|---|---|
| Exceeding 180 days but not exceeding 240 days | 125% of the actual fee |
| Exceeding 240 days but not exceeding 360 days | 150% of the actual fee |
| Exceeding 360 days | 200% of the actual fee |
Key Notes:
- These rates apply to late payments beyond the due date.
- The penalty increases progressively based on the delay period.
- Example: If the original fee is PKR 1000/-, then:
- 125% fee = PKR 1,250/- (for 180-240 days delay)
- 150% fee = PKR 1,500/- (for 240-360 days delay)
- 200% fee = PKR 2,000/- (for delays beyond 360 days)
Additional Fee on Token Tax:
There will be no penalty if the Token tax payments are made by September 30th. However, payments after this date will be subject to a monthly penalty of 20%, not to exceed 100%. The Motor Registration Authority will collect any unpaid token taxes from rickshaws and taxis and provide a penalty slip.
Owners of commercial and tied-up vehicles must pay their token tax in advance within the first month of each fiscal quarter:
1. By July 31 for the first quarter,
2. By October 31 for the second quarter,
3. By January 31 for the third quarter, and
4. By April 30 for the fourth quarter.
Vehicle Tax Information covers key taxes like token tax, professional tax, and income tax, helping vehicle owners stay compliant. The system not only calculates penalties for late payments but also highlights tax deadlines to avoid penalties.
With features like online tax verification, payment history, and transparency, MTMIS Punjab ensures convenience and accountability, making tax management efficient for vehicle owners in the province.
Above Prices reference: https://excise.punjab.gov.pk/motorvehicle_tax