Ahmed saw the notice on his windscreen one morning. Someone had left it under the wiper overnight. It said his vehicle token tax was overdue. He had no idea the tax existed, and he did not know where to pay it. This guide is for that exact moment. It tells you what token tax is, how much it costs, and how to pay it online in Pakistan without going to an office.
What is token tax in Pakistan?
Token tax is another name for motor vehicle tax. It is an annual tax that every owner of a registered motor vehicle in Pakistan pays. The money goes to the provincial Excise and Taxation Department, not to the federal government. Your tax bill depends on your vehicle type and engine size.
Each province runs its own system under its own law. In Punjab it is collected under the Motor Vehicle Ordinance 1965 and the Motor Vehicle Tax Act 1958. In Sindh the law is the Sindh Motor Vehicle Taxation Act 1958. The rate, the deadline and the payment portal all differ by province, and I will cover the two biggest one at a time so it stays clear.
How much token tax do you pay?
There is no single fixed amount. The figure is set by your vehicle's engine capacity, or CC, and by the province where the vehicle is registered.
In Punjab for the tax year 2026 to 2027, a motor car at 1000 CC pays 20,000 rupees in annual token tax. A motorcycle pays 1,500 rupees at the time of registration. Cars in the 1301 to 1499 CC range pay 6,000 rupees. The full schedule of rates sits on the official Punjab Excise and Taxation motor vehicle tax page.
In Sindh the rates are set out in the Sindh Excise motor vehicle tax page and work on the same idea. Bigger engine means a bigger bill. A brand new electric vehicle is treated differently, with most of the tax waived to encourage clean cars.
For a figure specific to your vehicle, the official portals have a calculator. You put in your details and the system shows your exact amount. That is the number you trust, not a broker's guess.
Pay token tax online in Punjab
Punjab runs its payments through ePay Punjab. This is the official government payment portal, and it links to every bank through the 1 Link system. You do not touch cash and you do not queue.
Walk through it once and it stays easy. The steps:
- Open ePay Punjab and pick the token tax service.
- Enter your vehicle and personal details, or your registration number.
- The system calculates what you owe, including any arrears you have let build up.
- It gives you a PSID, which is a long number that identifies your payment.
- Pay that PSID at an ATM, through internet or mobile banking, at a branchless banking agent, or over the counter at your bank.
- Your receipt comes by email, and you can print it as proof.
That is the whole process. It takes a few minutes once you have your registration details handy.
Pay token tax online in Sindh
Sindh uses the Excise quick pay portal. The idea is the same, with a small difference in the steps:
- Open the quick pay page.
- Choose your vehicle type, two wheeler or four wheeler.
- Enter your mobile number and registration number.
- Let the system calculate the current tax and show any arrears.
- Generate your PSID and pay it at an ATM, through net banking, branchless banking, or an over the counter bank.
Sindh also offers an official mobile app called Excise Sindh, so if you prefer to pay from your phone, that is an option.
Pay token tax online in other provinces
Khyber Pakhtunkhwa and Balochistan each run their own Excise department with their own rates and portal. The Khyber Pakhtunkhwa Excise motor vehicle tax page lists the registration and tax rates for that province. If your vehicle is registered outside Punjab and Sindh, check your own province's Excise website first, because the numbers and the payment link will not match this guide.
When do you get a discount?
Most provinces reward you for paying early. Punjab gives a 10 percent rebate on your annual token tax if you pay the full year on or before 31 August of the financial year. The financial year runs from July to June, so the early payment window sits right at the start. Pay in time and you keep a tenth of the bill.
Wait past the deadline and you lose the rebate, and arrears start to pile up. The Excise department also runs crackdowns against owners who keep defaulting, so an old unpaid bill does not go away on its own.
What if you do not pay on time?
An unpaid token tax does not vanish. It stays on your registration as arrears, it grows, and it blocks other vehicle services. When you finally try to sell, transfer or re-register the vehicle, the old bill has to be settled first. Non payment can also land the vehicle on the Excise defaulters list. The honest answer is that paying on time is cheaper than paying later.
If you are unsure whether you owe anything, you can check your vehicle's record. Punjab's online vehicle verification portal lets you look up a vehicle by its registration number and see its tax standing before it becomes a problem.
Other taxes a vehicle owner should understand
Token tax is a provincial road and vehicle tax. It is separate from the income tax or filing system run by the federal tax office, which is why your NTN number is a different matter. When you buy a property as well as a car, that brings its own provincial tax, and you can see how to pay property tax online the same way. And every year many people miss simpler tax duties, so it is worth reading how to file your income tax return in Pakistan.
More plain guides on taxes and the law live on the Lexiber blog, and you can start on the home page to ask a question directly.
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