What is Car Token Tax?

Car token tax, officially known as motor vehicle tax, is an annual provincial levy charged on all registered vehicles in Pakistan. Each province has its own Excise & Taxation Department that sets the tax slabs, payment deadlines, and methods. The Islamabad Capital Territory (ICT) also follows its own schedule.

Who Needs to Pay Token Tax?

Every registered vehicle owner must pay token tax in the province where the vehicle is registered. The payable amount depends on:

  • Vehicle type (car, jeep, motorcycle, commercial vehicle)
  • Engine capacity or weight class
  • Province of registration
  • Any available discounts or concessions

Token Tax Deadlines & Penalties in 2025

  • The official token tax year runs from July 1 to June 30.
  • Late payments may result in fines and surcharges.
  • Provincial departments announce reminders and cut-off dates each year. For instance, Punjab requires payments to be made by June 30, 2025, to avoid penalties.
  • A 10% discount has been offered in Punjab for payments made before August 30, 2025.
READ MORE: Pakistan’s Auto Sector Rallies Against Govt’s Used Car Import Plan

Province-Wise Token Tax Payment Methods

Punjab

  • Payment Method: ePay Punjab (web or app) generates a PSID.
  • Channels: Mobile banking, internet banking, ATMs, OTC banking, JazzCash, Easypaisa.
  • Authority: Punjab Excise & Taxation Department.

Sindh

  • Payment Method: Sindh Excise portal or 1BILL through bank apps and ATMs.
  • Channels: Mobile banking, ATMs, OTC.

Islamabad (ICT)

  • Tax Cycle: Valid from July 1 – June 30.
  • Payment Method: ICT Excise & Taxation designated counters and online channels where available.

Khyber Pakhtunkhwa (KP)

  • Payment Method: KP Excise online portal and tax calculator.
  • Channels: Excise counters and online services.

Balochistan

  • Payment Method: Balochistan Excise & Taxation counters and online services.
  • Note: Token tax slabs are notified in provincial schedules.

Required Documents for Payment

  • Vehicle registration number or registration book
  • CNIC of the vehicle owner
  • Last token tax receipt (if paying offline)
  • Bank account or wallet details for online payments

Online Token Tax Payment – Step by Step

Punjab (via ePay Punjab)

  1. Open ePay Punjab app or website.
  2. Select Excise & Taxation → Token Tax.
  3. Enter the vehicle registration number.
  4. A PSID is generated.
  5. Pay via mobile banking, ATM, OTC, or wallet.
  6. Save the receipt.

Sindh (via 1BILL)

  1. Visit Sindh Excise portal or open 1BILL in your bank app/ATM.
  2. Enter the reference code.
  3. Confirm dues and pay.
  4. Save the receipt.

Islamabad (ICT)

  1. Visit the ICT Excise & Taxation website.
  2. Pay at designated counters or online channels.
  3. Collect and save receipt.

Khyber Pakhtunkhwa (KP)

  1. Use KP Excise tax calculator to check dues.
  2. Pay online or at counters.
  3. Save the receipt.

Balochistan

  1. Visit Balochistan Excise portal or counter.
  2. Pay dues as instructed.
  3. Keep the receipt.

Penalties for Non-Compliance

Failure to pay token tax on time can lead to:

  • Monetary fines and surcharges
  • Challans during road checks
  • Vehicle impounding for repeated violations

Always keep a valid token tax receipt with your car documents.

READ MORE: Car Registration Price in Islamabad 2025 – Complete Guide

FAQs

Q1. What is the token tax year in Pakistan?
It runs from July 1 to June 30.

Q2. Are token tax rates the same in every province?
No, they vary by province, engine capacity, and vehicle type.

Q3. Can token tax be paid online?
Yes, online systems are available in Punjab, Sindh, KP, and partly in ICT and Balochistan.

Q4. Is there any discount in 2025?
Yes, Punjab is offering a 10% discount for token tax payments before August 30, 2025.

Conclusion

Car token tax in Pakistan 2025 is a mandatory annual fee for all vehicle owners. With digital services such as ePay Punjab and Sindh 1BILL, payments are now easier and faster. To avoid penalties, pay your dues within the fiscal year and always keep your receipt for verification.

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