LAHORE – The Punjab Excise and Taxation Department has implemented new token tax structure for vehicles, with effect from July 1,2024, putting an additional burden on car buyers.
The new token tax was enforced after the provincial government revised up the tax rates in budget for fiscal year 2024-25.
Previously, the excise department collected fixed token tax on vehicles based on the engine capacity. Now, it has decided to determine the tax on the basis of the vehicle’s invoice price, a move that would ultimately increase the tax rates for buyers.