The federal cabinet has formally approved an increase in vehicle token taxes across Pakistan, following amendments to the West Pakistan Motor Vehicles Ordinance. The decision will impact private, commercial, and public transport vehicles, with potential revisions also expected in registration and transfer fees, as per official sources.
The changes were approved based on recommendations from the Cabinet Committee for Legislative Cases (CCLC). Final authority to adjust and implement the revised fee structure has been delegated to the Ministry of Interior. The token tax increase is expected to improve revenue collection and enhance operational efficiency in traffic departments nationwide.
Officials from the Interior Ministry stated that token tax rates have remained static since 2019, leading to a decline in revenue and straining the functioning of the Chief Traffic Officer’s office and related departments.
The revised tax structure is expected to be notified in the coming weeks. Provincial Excise and Taxation Departments may soon announce updated rate schedules based on federal guidelines. Vehicle owners are advised to stay informed and prepare for higher charges during annual token renewal or vehicle transfers.
