Enter the engine capacity to see the tax.
Short answer: For 2026-27, a private car above 1000cc pays 0.3% of its invoice value a year in Punjab (0.4% above 2000cc) and 0.25% in Islamabad (0.35% above 2000cc). Cars up to 1000cc pay a one time Rs 20,000 in both. Sindh and Khyber Pakhtunkhwa still charge fixed yearly amounts by engine size, from Rs 1,500 and Rs 2,000 for a 1000cc car. On top of the token, the excise office collects advance income tax under section 234: Rs 800 to Rs 10,000 a year for filers, double for non filers.
Key takeaways
- Punjab raised its percentage token from 0.2% to 0.3% (1001cc to 2000cc) and from 0.3% to 0.4% (above 2000cc) for 2026-27.
- Islamabad moved to 0.25% and 0.35% of invoice value from 1 July 2026, with Rs 20,000 lifetime for cars up to 1000cc.
- Sindh and KP did not change car token rates in their 2026 budgets.
- The federal 234 tax depends only on engine size, and non filers pay double. It stops once the car has been used in Pakistan for ten years.
- Paying early saves money: 10% in Punjab by 31 August and 15% in KP by 31 July.
How to use this vehicle token tax calculator
Choose the province where the vehicle is registered, the vehicle type and the engine capacity from your registration book. For a Punjab or Islamabad car above 1000cc, enter the invoice value, because both now charge a percentage of it. Then enter how many full years have passed since first registration, your filer status, and how many years of token you need to pay. The calculator shows the provincial token, the 234 income tax for filers and non filers side by side, any early payment rebate, and the total.
Remember that you pay two different taxes at the same counter: the token is provincial, while the 234 amount is federal income tax the excise office collects for FBR.
Token tax Punjab 2026-27
Punjab charges cars by value, not by a flat amount. These are the rates on the Excise Punjab rate page for 2026-27:
| Engine capacity | 2026-27 | 2025-26 |
|---|---|---|
| Up to 1000cc | Rs 20,000 once, at registration | Rs 20,000 once |
| 1001cc to 2000cc | 0.3% of invoice value a year | 0.2% of invoice value |
| Above 2000cc | 0.4% of invoice value a year | 0.3% of invoice value |
The percentage system came with the Punjab Finance Act 2024. It added a minimum: if the percentage gives less than the old fixed rate for that engine size, you pay the old rate. For an older car with a low invoice value, that minimum is what you pay. The old rates were Rs 1,800 (1001cc to 1300cc), Rs 6,000 (1301cc to 1500cc), Rs 9,000 (1501cc to 2000cc), Rs 12,000 (2001cc to 2500cc) and Rs 15,000 above 2500cc. I could not open the text of the Punjab Finance Act 2026 itself, so the calculator applies this minimum and says so on the result.
Lifetime token tax Punjab
In Punjab, lifetime token is not an option you choose for every car. It is the only way cars up to 1000cc pay: Rs 20,000 once at registration. If such a car is transferred within ten years, the new owner pays Rs 20,000 less 10% for each financial year that has passed. A Mehran or Alto transferred in its third year pays Rs 14,000. Motorcycles work the same way with Rs 1,500. For cars above 1000cc, Punjab’s schedule has no lifetime rate, so you pay every year.
1000cc token tax by province
| Province | 1000cc car token | 234 tax, filer | 234 tax, non filer |
|---|---|---|---|
| Punjab | Rs 20,000 once | Rs 10,000 once | Rs 20,000 once |
| Islamabad | Rs 20,000 once | Rs 10,000 once | Rs 20,000 once |
| Sindh | Rs 1,500 a year, or Rs 20,000 once for a new car | Rs 800 a year | Rs 1,600 a year |
| Khyber Pakhtunkhwa | Rs 2,000 a year | Rs 800 a year | Rs 1,600 a year |
A lump sum token means lump sum 234 tax too, which is why a Punjab or Islamabad 1000cc car shows Rs 10,000 of income tax, not Rs 800.
Token tax Islamabad 2026-27
Islamabad’s rates are set by Parliament, not a provincial assembly. The federal Finance Act 2026 replaced the ICT tables from 1 July 2026:
| Engine capacity | Private car | Motor cab (for hire) |
|---|---|---|
| Up to 1000cc | Rs 20,000 lifetime | Rs 600 a year |
| 1001cc to 1300cc | 0.25% of invoice value a year | Rs 1,000 |
| 1301cc to 1500cc | 0.25% | Rs 1,700 |
| 1501cc to 2000cc | 0.25% | Rs 2,500 |
| 2001cc to 2500cc | 0.35% | Rs 3,400 |
| Above 2500cc | 0.35% | Rs 4,200 |
The ICT Excise fee schedule lists motorcycle token as lifetime: Rs 1,000 up to 200cc, Rs 2,000 for 201cc to 400cc and Rs 5,000 above 400cc. Electric vehicles are exempt. Pay before 1 October to avoid a penalty.
A Rs 60 lakh 1800cc car in Islamabad pays Rs 15,000 token for 2026-27, and a non filer adds Rs 9,000 of income tax.
Token tax Sindh
Sindh still uses fixed yearly amounts, from the schedule in the Sindh Finance Act 2019, restated in a 2021 amendment. The Sindh Finance Act 2026 did not touch motor vehicle tax.
| Engine capacity | Yearly token | After 10 years | After 15 years |
|---|---|---|---|
| Up to 1000cc | Rs 1,500 | Rs 1,125 | Rs 750 |
| 1001cc to 1300cc | Rs 2,000 | Rs 1,500 | Rs 1,000 |
| 1301cc to 1600cc | Rs 4,000 | Rs 3,000 | Rs 2,000 |
| 1601cc to 2000cc | Rs 4,500 | Rs 3,375 | Rs 2,250 |
| 2001cc to 2500cc | Rs 5,000 | Rs 3,750 | Rs 2,500 |
| Above 2500cc | Rs 7,000 | Rs 5,250 | Rs 3,500 |
The reduction for older cars is written into the schedule: private cars pay 75% after ten years and 50% after fifteen years from first registration. A 2025 amendment set Rs 7,000 a year for every double cabin pickup registered as private, whatever the engine size.
Lifetime token in Sindh is only for private cars up to 1000cc: Rs 20,000 for a new car, or for a car already registered with tax paid up to date, Rs 15,000 before five years, Rs 10,000 from five to ten years, and Rs 8,000 after ten years. Motorcycles pay once: Rs 1,800 up to 149cc and Rs 3,000 from 150cc. Rickshaws pay Rs 600 a year.
I could not open the Sindh Excise website while checking these rates (it blocked automated access), so the Sindh figures come straight from the gazette texts on the Sindh Laws website. If your challan shows a different amount, the excise office’s demand is what you pay.
Token tax KPK
Khyber Pakhtunkhwa replaced its whole schedule through the KP Finance Act 2025, in force from 1 July 2025. The 2026 Act only rewrote the entry for vehicles plying for hire, with the same amounts for rickshaws and cabs.
| Vehicle | KP token tax |
|---|---|
| Car up to 1000cc | Rs 2,000 a year |
| 1001cc to 1300cc | Rs 3,000 a year |
| 1301cc to 1500cc | Rs 4,000 a year |
| 1501cc to 2500cc | Rs 5,000 a year |
| Above 2500cc | Rs 8,000 a year |
| Motorcycle or scooter | Rs 2,500 for life |
| Rickshaw (up to 3 persons) | Rs 1,000 a year |
| Cab up to 4 persons / 5 to 6 persons | Rs 1,500 / Rs 2,000 a year |
Electric four wheelers are exempt until 30 June 2028. The KP Act gives a 15% rebate when the full year is paid by 31 July. If you miss the due date, section 9 allows a penalty of up to twice the tax, decided by the excise officer.
Income tax with token tax: filer vs non filer
Section 234 of the Income Tax Ordinance makes whoever collects motor vehicle tax also collect advance income tax. The rate depends only on engine capacity, never on value, and it is the same in every province. Non filers pay 100% more under the Tenth Schedule. FBR’s rate card for 2027 shows the same amounts.
| Engine capacity | Yearly, filer | Yearly, non filer | Lump sum, filer | Lump sum, non filer |
|---|---|---|---|---|
| Up to 1000cc | Rs 800 | Rs 1,600 | Rs 10,000 | Rs 20,000 |
| 1001cc to 1199cc | Rs 1,500 | Rs 3,000 | Rs 18,000 | Rs 36,000 |
| 1200cc to 1299cc | Rs 1,750 | Rs 3,500 | Rs 20,000 | Rs 40,000 |
| 1300cc to 1499cc | Rs 2,500 | Rs 5,000 | Rs 30,000 | Rs 60,000 |
| 1500cc to 1599cc | Rs 3,750 | Rs 7,500 | Rs 45,000 | Rs 90,000 |
| 1600cc to 1999cc | Rs 4,500 | Rs 9,000 | Rs 60,000 | Rs 120,000 |
| 2000cc and above | Rs 10,000 | Rs 20,000 | Rs 120,000 | Rs 240,000 |
Three rules matter here. First, the tax stops once a car has been used in Pakistan for more than ten years (section 234(2A)). Second, it is adjustable: a filer claims it against the income tax in the return, so it is not a lost cost. Third, a non filer pays double and cannot adjust anything without filing. For a cab plying for hire with 4 to 9 seats, the 234 tax is Rs 200 a seat for non AC and Rs 375 a seat for AC, also doubled for non filers.
My view: if you own a 1300cc or bigger car and are not a filer, the extra 234 tax alone often pays for a tax consultant to file your return. The salary tax calculator shows what you would actually owe as a salaried filer.
Worked examples for 2026-27
| Case | Token | 234 tax | Total |
|---|---|---|---|
| Punjab, 1300cc, invoice Rs 40 lakh, filer | Rs 12,000 | Rs 2,500 | Rs 14,500 |
| Punjab, 1800cc, invoice Rs 15 lakh, filer (minimum applies) | Rs 9,000 | Rs 4,500 | Rs 13,500 |
| Punjab, new 1000cc, non filer | Rs 20,000 | Rs 20,000 | Rs 40,000 |
| Islamabad, 1800cc, invoice Rs 60 lakh, non filer | Rs 15,000 | Rs 9,000 | Rs 24,000 |
| Sindh, 1300cc, 12 years old, filer | Rs 1,500 | Rs 0 | Rs 1,500 |
| KP, 1500cc, filer, paid by 31 July | Rs 3,400 | Rs 3,750 | Rs 7,150 |
For arrears, set “years to pay” above 1. The calculator works backwards year by year, so the ten year 234 rule and Sindh’s reductions apply in the right years. It uses this year’s rates throughout, so treat it as an estimate.
Late payment and what is not covered
Punjab, Sindh and Islamabad do not publish their late payment penalty amounts on the official pages I checked, and KP leaves the amount to the officer, so the calculator shows a warning, not a number. It also does not cover goods vehicles, buses, tractors, electric vehicles, the one time Sindh tax on bigger cars at registration, section 231B tax when you buy or transfer a car, or Balochistan. For other tax and bill calculators, see the full list of free tools for Pakistan.
Frequently asked questions
How is vehicle token tax calculated in Punjab?
Cars up to 1000cc pay Rs 20,000 once. Cars from 1001cc to 2000cc pay 0.3% of the invoice value each year and cars above 2000cc pay 0.4%, but never less than the old fixed rate for their engine size. Add the federal 234 tax for your engine size.
What is the 1000cc token tax in Punjab and Islamabad?
Rs 20,000 once, plus Rs 10,000 lump sum income tax for a filer or Rs 20,000 for a non filer. In Punjab, a transfer within ten years is charged Rs 20,000 less 10% for each financial year passed.
Can I pay lifetime token tax for a 1300cc car?
Not in Punjab, Islamabad, Sindh or KP under the schedules in force for 2026-27. Lifetime rates exist only for cars up to 1000cc (Punjab, Islamabad and Sindh) and for motorcycles. Bigger cars pay every year.
What is the last date for token tax in Islamabad?
ICT Excise asks owners to pay the 2026-27 annual token before 1 October 2026, either through the PAK APP or at the Excise office in H-9. After that a penalty is charged.
Is there a discount for paying token tax early?
Punjab gives 10% off the annual token if the whole year is paid by 31 August. KP’s Act gives 15% if the full year is paid by 31 July. The rebate is on the provincial token only, not on the 234 income tax.
Do non filers pay more token tax?
The provincial token is the same for everyone. The difference is the 234 income tax collected with it, which is doubled for people not on FBR’s Active Taxpayers List.
Do old cars still pay income tax with token tax?
No. Section 234(2A) stops the advance tax once a car has been used in Pakistan for more than ten years. The provincial token continues, though Sindh cuts it to 75% after ten years and 50% after fifteen.
Why does my challan show a different amount?
The excise office may use its own value for the car or add arrears, penalties or other fees. Always pay the demand on the official PSID.
This calculator gives an estimate based on the Punjab Excise rate page and Punjab Finance Act 2024, the federal Finance Act 2026 for Islamabad, the Sindh and Khyber Pakhtunkhwa Finance Acts and schedules in force for 2026-27, and section 234 of the Income Tax Ordinance 2001 amended up to 30 June 2026. Rates last checked 11 November 2026. It follows the published schedules but does not add late payment penalties, and your actual tax is what the excise department’s challan shows. For advice on your own case, ask the excise office or a tax practitioner.