Punjab Token Tax 2025 Online Payment, Rates & Updates
Are you tired of the annoyance of paying a Punjab Token Tax at the Excise and Taxation Office? With the digital age upon us, the Punjab government has made it faster and easier than ever to pay your token tax online.
In this complete principle, we’ll cover everything you require to know about vehicle token tax in Punjab, including:
- Recent changes in vehicle token tax policy
- How to calculate and pay online token tax
- Token tax rates for different types of vehicles
- Frequently Asked Questions
By the end of this blog post, you’ll have all the information you require to confirm your vehicle is legally registered and avoid any penalties.
New Token Tax Policy for 2025
The 2025 fiscal budget introduced important changes to the token tax policy in Punjab, affecting both used and new vehicle owners. To confirm you understand how these changes might affect your vehicle, you might want to check our principle on vehicle verification, which provides detailed information on updating and checking your vehicle details.
- For vehicles with an engine capacity of up to 1,000cc, the new owner must pay the full vehicle token tax again when transferring ownership.
- The annual token tax is now estimated based on the vehicle’s invoice value instead of engine capacity. Vehicles with engine capacities between 1,000cc and 2,000cc will be taxed at 0.2% of the invoice value, while vehicles over 2,000cc will be taxed at 0.3% yearly.
Increased Lifetime Token Tax For Up to 1000cc Vehicles
The lifetime token tax for vehicles with an engine capacity of up to 1,000cc has increased from Rs 15,000 to Rs 20,000. If ownership is transferred within 10 years, the new owner will be needed to pay the lifetime token tax with a 10% annual discount. However, no lifetime token tax will be assessed if the transfer takes place after 10 years.
Benefits of Online Punjab Token Tax Expenditure
Online token tax payment offers some benefits like.
- Pay from the convenience of your home without visiting government offices.
- Faster processing with instant receipts and verifications.
- Reduces the risk of mistakes and corruption.
Reasons for Changes in Token Tax Rates
The immediate reasons for the policy changes include.
- Adjusting rates to remember the current economic environment.
- Higher rates for older, less fuel-efficient vehicles to encourage eco-friendly transportation.
- Ensuring sufficient budgets for public infrastructure projects.
Effect on Economy and Vehicle Market
These changes have had a conspicuous impact on the wider economy and the vehicle market.
- Potential increase in need for newer, more fuel-efficient vehicles.
- There has been a Shift towards online payment procedures due to enhanced convenience.
- Increased government income, aiding in better public services and infrastructure growth.
Token Tax Rates in Punjab
Token tax rates in Punjab are based on the type and engine capacity of the motor vehicle. The rates are reviewed sometimes to ensure they align with financial conditions.
Token Tax Rate For Motorcycle and Motor Cars
| Engine Capacity in CC | Token Tax | Income Tax | Professional Tax | |
| Filer | Non-Filer | |||
| Motorcycle at time of Registration | 1500 | – | – | 200 |
| Motor Car | ||||
| 1000cc and Below | 1,500 | 10,000 | 30,000 | 200 |
| Between 1000CC to 1199CC | 1,800 | 1,500 | 4,500 | 200 |
| Between 1200CC to 1299CC | 1,800 | 1,750 | 5,250 | 200 |
| 1300CC | 1,800 | 2,500 | 7,500 | 200 |
| Between 1301CC to 1499CC | 6,000 | 2,500 | 7,500 | 200 |
| 1500CC | 6,000 | 3,750 | 11,250 | 200 |
| Between 1501CC to 1599CC | 9,000 | 3,750 | 11,250 | 200 |
| Between 1600CC to 1999CC | 9,000 | 4,500 | 13,500 | 200 |
| 2000CC | 9,000 | 10,000 | 30,000 | 200 |
| Between 2001CC to 2500CC | 12,000 | 10,000 | 30,000 | 200 |
| 2500cc and above | 15,000 | 10,000 | 30,000 | 200 |
Punjab Token Tax on Commercial Vehicles
| Report of Motor Vehicles | Token Tax | ||
| Vehicles (including delivery vans) with a maximum loaded capacity of up to 4060 kg | PKR. 1,000/- | ||
| Vehicles with maximum loaded capacity between 4,060 Kg to 8,120 | PKR. 2,200/- | ||
| Vehicles with loaded capacity between 8,120 Kg to 12,000 Kg | PKR. 4,000/- | ||
| Vehicles with long trailers or other vehicles with a maximum loaded capacity between 12,000 Kg to 16,000 Kg | PKR. 6,000/- | ||
| Vehicles with long trailers or other vehicles with a maximum loaded capacity exceeding 16,000 Kg | PKR. 8,000/- | ||
| Vehicles drawing other trailers Reasonable rate out of the rates at (a) to (f) above applicable to the vehicle plus | PKR. 400/- | ||
| Commercial Tractor | |||
| Commercial Tractor Tax | Token Tax | Professional Tax | Income Tax |
| 2,600/- | 200 | 7200 | |
Token Tax on Commercial Passenger Motor Vehicles
| Type of Motor Vehicles | Annual Rate of Tax |
| Motor Cab Rickshaws/ Motor Cycle Rickshaw with a seating capacity of not more than 4 persons or 6 persons | Rs.3,000/- lump sum once |
| Vehicles playing for hire with 60% of the total length of the route falling within the boundaries of a Corporation, Municipality, or Cantonment. | Rs.140/- per seat |
| Passenger vehicle with a seating capacity of more than 6 people operating exclusively for hire within the boundaries of a Corporation, Municipality, or Cantonment. | |
| Without Air Conditioned | Rs.180/- per seat per annum |
| Air Conditioned | Rs.300/- per seat per annum |
Token Tax on Commercial Motor cabs
| Description of Motor Vehicles | Annual Rate of Tax |
| Motor cabs with a seating capacity of 6 or less than 6 persons | |
| Below 1000cc | Rs. 700/- |
| Between 1000cc to 1300cc | Rs. 1,200/- |
| Between 1300cc to 1500cc | Rs. 2,000/- |
| Between 1500cc to 2000cc | Rs.3,000/- |
| Between 2000cc to 2500cc | Rs.4,000/- |
| 2500cc Above | Rs.5,000/- |
| More than 6 persons | |
| Non-Air Conditioned | Rs.180/- per seat |
| Air Conditioned | Rs. 300/- per seat |
Provincial Variations in Token Tax Rates in Punjab
While the core rates remain constant across Punjab, some interpretations may exist based on regional policies. For instance, urban areas may have slightly higher rates due to increased infrastructure expenses.
Calculate Token Tax Online in Punjab
Calculating your token tax online is a clear process. Follow these easy procedures to ensure you pay the valid amount.
Complete Process For Calculating Punjab Token Tax Online
- Go to the Punjab Excise & Taxation Department’s Official Website.
- Go to the section of the Token Tax Calculator Tool.
- Enter Your Vehicle Information:
- Registration number
- Engine capacity
- Vehicle category
- View the Calculated Amount:
- This tool will display the token tax expected for your vehicle.
- Move to Payment:
- If you click on the proceed amount, you will be redirected to the official Punjab E-Pay website for online token tax payment.
Addressing Common Errors and Problems
If you face issues:
- Ensure all details are accurately entered.
- Check your network connection.
- Contact the Excise Department’s helpline if the issue persists.
How to Pay Your Car Token Tax Using the ePay Punjab App
Paying car token tax in Punjab has evolved into a more convenient process with the introduction of the ePay Punjab app. Once you’ve estimated your token tax, follow these procedures to pay through the ePay Punjab app. For information on other payment procedures and options, check out our smart card status check method.
- Download the ePay Punjab App
First, go to the Google Play Store or Apple App Store and download the ePay Punjab app onto your smartphone. - Register on the App
Open the app and sign up by entering your mobile number, name, and CNIC number. - Log In to Your Account
After registration, log in with your details. - Go to the Excise and Taxation Section
From the app’s main menu, find and select the “Excise and Taxation Department” option. - Select Token Tax
Click on “Token Tax” to proceed with your payment. - Enter Your Vehicle Information
Type in your vehicle registration number and hit the search button. The app will automatically pull up your vehicle’s details, including the token tax amount. - Generate a Challan
Click “Generate Challan,” and the app will create a challan for you with a unique PSID number. - Choose Your Payment Method
Now, you can use the PSID number to pay through different methods:
- Mobile Banking: Use your bank’s mobile app and enter the PSID number.
- Online Banking: Log into your bank’s online portal and input the PSID number.
- 1Link ATM: Visit a bank’s ATM, select “Bill Payment,” and enter the PSID number.
- Bank Counter: Take the PSID number to a participating bank counter for payment.
- Receive Payment Confirmation
Once your payment is processed, you’ll get a confirmation receipt in the app, which serves as proof of payment.
By following these easy steps, you can conveniently pay your car token tax through the ePay Punjab app.. There is no need to visit any government offices!
Effect of Not Paying the Punjab Token Tax
Failing to pay the token tax can lead to serious penalties and legal action.
Penalties and Fines for Non-Compliance
Non-payment can result in fines differing from 2,000 to 10,000, depending on the hold. Repeat criminals may face higher penalties.
Legal Implications of Non-Payment
In extreme circumstances, permitted action may be taken, showing to vehicle appropriation or even legal proceedings.
Standards of Penalties
For example, if you delay payment by 31 days, a fine of Rs 5,000 could be charged in addition to the unpaid tax amount.
Token Tax for Used Vehicles
When buying a used vehicle, understanding the token tax importance is crucial.
Process of Transfer of Ownership
The token tax must be updated before the ownership transfer. The new owner is answerable for confirming all dues are cleared.
Token Tax Implications for New Owners
The new proprietor must pay the token tax from the date of transfer. Any unpaid dues by the previous owner may result in penalties.
Calculating and Paying Token Tax for Used Vehicles
You can figure the token tax for a used vehicle using the Token Tax calculator or check the table we provide in the above section for both new and old vehicles. Ensure you update the vehicle’s ownership data with the Excise Department to avoid problems.
Frequently Asked Questions
What is the token tax in Punjab?
A token tax is an annual fee charged on vehicle owners in Punjab, Pakistan. It is important for legal vehicle registration and allows for soft movement within the province.
How is token tax calculated?
The token tax is calculated based on the vehicle’s engine capacity and invoice deal. The Punjab government has presented a new system where vehicles up to 1,000cc are taxed at a balanced rate, while vehicles exceeding 1,000cc are taxed based on their invoice worth.
How To Check a vehicle’s token tax status online?
Visit the Punjab Excise and Taxation Department’s official website and utilize the online token tax verification tool. Enter your vehicle’s registration number to consider its status.
What are the effects of not paying the token tax?
Failing to pay the token tax can result in penalties, fines, and legal action. In some cases, your vehicle may be seized.
How can I pay the token tax online?
You can pay token tax via different online methods, including:
e-Pay Punjab App: Download the app and follow the easy steps to pay.
Online Banking: Log in to your bank’s portal and choose “Government Payments.”
ATM: Use your ATM card to complete the payment.