You park outside a market in Lahore, and a friend mentions that Excise teams are checking token tax on the road. Suddenly you can't remember whether you paid this year. You don't know what the amount should be, or whether the rules changed in July.
They did change. For 2026-27, Punjab raised the annual token tax on most mid-size cars, and the payment deadline has just passed. This guide gives you the official rates, worked examples, the online check and payment steps, and what to do if you're now behind. Every figure was checked against the Punjab Excise & Taxation Department's motor vehicle tax page on October 5, 2026.
What Is the Lahore Car Token Tax for 2026-27?
Lahore has no separate rate table. Cars registered in Lahore pay the same Punjab motor vehicle tax as everywhere else in the province.
For 2026-27, Punjab Excise lists:
- Up to 1000cc: Rs 20,000, a one-time lifetime token
- 1001cc to 2000cc: 0.3% of the car's invoice price per year (it was 0.2% in 2025-26)
- Above 2000cc: 0.4% of the invoice price per year (it was 0.3%)
Federal income tax (Rs 1,500 to Rs 10,000 for filers, depending on engine size) and Rs 200 professional tax are collected alongside the token. The 10% early-payment rebate ended on August 31, 2026.
What Is Car Token Tax in Lahore?
Token tax is the annual motor vehicle tax that owners of registered vehicles pay to the provincial government. In Punjab, the Excise, Taxation & Narcotics Control Department collects it. It is administered under the Motor Vehicles Ordinance, 1965 and the Punjab Motor Vehicles Taxation Act, 1958.
People also call it:
- car token tax
- vehicle token tax
- annual vehicle tax
- motor vehicle tax (MVT)
When someone searches "Lahore car token tax," they mean the Punjab tax paid by a car registered in Lahore. The city name only tells the system which Excise office is local to you. The rate comes from the provincial schedule.
What the token actually covers
Paying the token keeps your registration current on the Excise record. It is not the same as the registration fee, the transfer fee, or the withholding tax you paid when you bought the car. We separate these in a later section, because mixing them up is the most common source of confusion.
Why Lahore Car Token Tax Matters More in 2026
Three things make this year different from the last few.
1. The rate went up. For cars from 1001cc to 2000cc, the Excise table moved from 0.2% to 0.3% of invoice price. For cars above 2000cc, it moved from 0.4%... wait, from 0.3% to 0.4%. On an expensive car, that difference is real money.
2. Value now drives the bill. Under the older system, a Toyota Corolla and a far pricier car in the same engine band could pay the same token. Now the invoice price decides the amount, so two cars with the same engine can pay very different tax.
3. Enforcement is active. The department announced a recovery drive. Officials said that after September 30, defaulters would pay the outstanding token tax plus an equal amount as a penalty. Reports also describe checking operations and the possibility of impounding vehicles with unpaid tax. We cover this in detail below.
If you haven't paid, this is the year to fix it. If you have paid, keep the receipt where you can find it.
Punjab Car Token Tax Rates 2026-27 by Engine Capacity
The table below summarizes the official Punjab Excise schedule for private motor cars. The department's page is a long, flattened table with merged cells, so read the ranges carefully.
| Engine capacity | Provincial token tax 2026-27 | Previous year (2025-26) |
|---|---|---|
| Up to 1000cc | Rs 20,000 (lifetime, one time) | Rs 20,000 |
| 1001cc to 2000cc | 0.3% of invoice price | 0.2% of invoice price |
| 2001cc to 2500cc | 0.4% of invoice price | 0.3% of invoice price |
| Above 2500cc | Listed on the official table; verify with the calculator | See official table |
A few notes on reading it:
- Invoice price means the recorded invoice value of the vehicle on the Excise record, not today's resale price.
- The old fixed amounts you may remember, such as Rs 1,800, Rs 6,000, and Rs 9,000, appear in the 2023-24 column of the official table. They are not the 2026-27 token amounts for 1001cc to 2000cc cars. Several third-party websites still show those figures as current, so be careful.
- Motorcycles pay a Rs 1,500 token at registration.
Federal income tax and professional tax collected with the token
When you pay your token, the Excise system also collects federal income tax under Section 234 and a small professional tax. The official table lists these amounts by
| Engine capacity | Income tax (filer) | Income tax (non-filer) | Professional tax |
|---|---|---|---|
| 1001 to 1199cc | Rs 1,500 | Rs 4,500 | Rs 200 |
| 1200 to 1299cc | Rs 1,750 | Rs 5,250 | Rs 200 |
| 1300cc | Rs 2,500 | Rs 7,500 | Rs 200 |
| 1301 to 1499cc | Rs 2,500 | Rs 7,500 | Rs 200 |
| 1500cc | Rs 3,750 | Rs 11,250 | Rs 200 |
| 1501 to 1599cc | Rs 3,750 | Rs 11,250 | Rs 200 |
| 1600 to 1999cc | Rs 4,500 | Rs 13,500 | Rs 200 |
Non-filers pay three times the filer amount. If you're not on the Active Taxpayer List, read our guide to filer vs non-filer vehicle tax in Pakistan and check how to become a tax filer with FBR. You can also verify your status through the FBR Active Taxpayer List explainer.
Federal tax rules sit outside the Excise Department, so reports suggest that cars older than ten years may be exempt from the federal portion. Confirm this on your assessment before relying on it.
How to Calculate Your Car Token Tax in Lahore
The method is simple once you know your invoice price and engine size.
- Find your engine capacity on your registration book or smart card.
- Find your invoice price as recorded by Excise. The official verification screen and calculator pull this from the vehicle record.
- Apply the percentage for your band (0.3% or 0.4%).
- Add federal income tax from the table above, depending on filer status.
- Add Rs 200 professional tax.
Worked example 1: 1300cc car, filer
A 1300cc sedan has a recorded invoice price of Rs 4,000,000.
- Token tax: 0.3% × 4,000,000 = Rs 12,000
- Income tax (filer): Rs 2,500
- Professional tax: Rs 200
- Total: Rs 14,700
The same car owned by a non-filer pays Rs 12,000 + Rs 7,500 + Rs 200 = Rs 19,700.
Worked example 2: 1800cc car, filer
An 1800cc car has an invoice price of Rs 6,500,000.
- Token tax: 0.3% × 6,500,000 = Rs 19,500
- Income tax (filer): Rs 4,500
- Professional tax: Rs 200
- Total: Rs 24,200
A non-filer pays Rs 19,500 + Rs 13,500 + Rs 200 = Rs 33,200.
Worked example 3: 2500cc SUV, filer
A 2500cc SUV has an invoice price of Rs 12,000,000.
- Token tax: 0.4% × 12,000,000 = Rs 48,000
- Income tax (filer): Rs 10,000
- Professional tax: Rs 200
- Total: Rs 58,200
What about a 1000cc car?
A car up to 1000cc pays a Rs 20,000 lifetime token, one time. If it's sold within ten years of registration, the official page says the lifetime token is charged again at transfer, reduced by 10% for each financial year since registration. Check the official calculator for the income tax component on your specific car.
To skip the arithmetic, use our Punjab Token Tax Calculator or the broader Vehicle Token Tax Calculator. For a deeper walkthrough, read our Punjab vehicle tax calculator guide for 2026.
Rebate, Deadline and Penalty: Where Things Stand Today
The 10% rebate has ended
Punjab Excise allows a rebate equal to 10% of annual token tax if the full year's tax is paid on or before August 31 of the financial year. That window closed for 2026-27. The rebate applies to the annual token tax itself, not to registration fees, arrears, or other charges. Mark August 31 on your calendar for 2027.
The September 30 payment window
Officials announced that owners could clear dues under normal terms until September 30, 2026. Reports quoted by local media say that after that date, defaulters must pay the outstanding token tax along with an equal amount as penalty, which effectively doubles the bill. You can read the announcement coverage in this report from September 29 and the earlier warning about a 100% surcharge.
Here is how to read that carefully:
- The 100% figure comes from official statements reported by the media, not from the rate table.
- The Motor Vehicles Taxation Act, 1958 allows penalties of up to twice the tax owed, so the law has room for it.
- Your final amount is whatever the Excise assessment shows. Don't pay from a formula you saw online.
What a late payment could look like
Take example 1 (token of Rs 12,000). If a penalty equal to the token tax applied, the token portion would roughly double to Rs 24,000, before federal income tax and professional tax. Your own assessment may differ depending on how many years you're behind, so treat this as an illustration, not a quote.
For a province-by-province view of late-payment rules, see our guide to vehicle token tax late penalties in Punjab, Sindh and KPK.
How to Check Lahore Car Token Tax Online
You can check your status from a phone in a few minutes.
- Open the Punjab Excise vehicle verification portal. The department's main site is excise.punjab.gov.pk, and the vehicle lookup runs on the MTMIS system at mtmis.excise.punjab.gov.pk.
- Enter your registration number. Use the format shown on your plate and registration book, for example LEA-24-1234.
- Select the vehicle type if prompted.
- Submit and read the record. You'll see owner and vehicle details, and usually the token tax status.
- Note the paid-through date. If the record shows arrears, take a screenshot before you pay.
You can also look at tax status in the ePay Punjab app, which lists Excise services. For a full screen-by-screen guide, read our article on how to check vehicle token tax online in Pakistan.
If the details look wrong
Mismatched engine capacity, wrong owner, or missing records can change your tax. Contact the Lahore Excise office or the Punjab Excise helpline, 0800-08786, before you pay a wrong amount. If the car changed hands recently, see our guides on vehicle ownership transfer in Pakistan and NADRA e-Sahulat biometric transfer.
How to Pay Lahore Car Token Tax Online Through ePay Punjab
ePay Punjab lists token tax as a government payment service for motor vehicle owners. The usual flow looks like this, though screens and labels can change:
- Open ePay Punjab on the website or in the mobile app.
- Choose Excise & Taxation, then Token Tax.
- Enter your vehicle registration number.
- Review the assessed amount. Check that engine capacity, filer status, and any arrears look right.
- Select a payment method from the options shown on screen.
- Pay and download the receipt. Save the PDF and a screenshot.
- Recheck the MTMIS record after a day or so to confirm it shows as paid.
Can you pay from outside Lahore?
Yes. Online payment doesn't depend on where you are. If you live abroad or in another city, you can pay through ePay with your registration number.
What if the payment fails?
Don't pay twice. Keep the transaction ID, wait for the confirmation or refund cycle, and recheck MTMIS. If the money left your account but the record shows unpaid, contact the helpline with your receipt.
Token Tax vs Registration Fee, Transfer Fee and Withholding Tax
Many Lahore owners think they're paying "one car tax." They're actually paying several, each with its own purpose and schedule.
| Charge | When it applies | Basic rate on the official page |
|---|---|---|
| Token tax (MVT) | Every year (or lifetime for up to 1000cc) | 0.3% / 0.4% of invoice price, or Rs 20,000 lifetime |
| Registration fee | New registration | 1% up to 1000cc, 2% for 1001 to 2000cc, 4% above 2000cc |
| Transfer fee | Ownership transfer | Rs 4,540 (up to 1000cc), Rs 9,075 (up to 1800cc), Rs 18,150 (above 1800cc) |
| Withholding tax | New registration of local cars | Percentage of value, by engine band and filer status |
| Capital Value Tax (CVT) | Registration and transfer, cars above 1300cc | 1% of value, for a limited period with 10% annual depreciation |
Notes that help:
- Token tax is not an income tax. The federal income tax shown beside it is a separate federal levy that Excise collects for convenience.
- Withholding tax is mainly a buyer-side cost at registration. Our guides on withholding tax in Pakistan and the Withholding Tax Calculator cover that side.
- Transfer costs are separate from token tax, so a used-car purchase has more moving parts. Our checklist for used car documents in Pakistan helps you avoid surprises.
If you want a combined estimate for registration and tokens together, try our vehicle token tax and registration calculator guide.
Punjab vs Islamabad vs Sindh: How Lahore Compares
Each province and Islamabad set their own rules, so a move changes your bill.
- Punjab (Lahore): Percentage of invoice price for cars above 1000cc, with a lifetime token for cars up to 1000cc.
- Islamabad: Reports say Islamabad moved to an invoice-price-based token from July 1, 2026, with lower percentages than Punjab. See our Islamabad token tax rates for 2026-27 and the Islamabad Token Tax Calculator.
- Sindh: Fixed amounts by engine size. Try the Sindh Car Token Tax Calculator.
- Khyber Pakhtunkhwa: Reports describe flat yearly amounts by engine size, so a pricier car doesn't pay more.
For a full side-by-side, read our province-wise car token tax guide for 2026. If you're registered in Lahore but live elsewhere, the registration province decides which schedule applies.
Key Tools and Official Sources Worth Bookmarking
You don't need ten websites. These cover nearly everything:
- Punjab Excise motor vehicle tax page: the rate tables, rebate rule, transfer fees, and registration fees
- Punjab Excise & Taxation Department: announcements, vehicle services, and the official calculator
- MTMIS vehicle verification: check registration and tax status
- ePay Punjab: pay token tax online
- Punjab Finance Department: budget and Finance Act changes
- Federal Board of Revenue: filer status and federal tax rules
When a blog and an official page disagree, the official page wins. That includes this article.
Why Choose Free Calculator for Vehicle Tax Questions?
Tax rules are hard to follow when they live in long, flattened government tables. Why choose Free Calculator? We turn those tables into plain language and simple tools, and we point you back to the official source so you can verify.
Here is how our tools help Lahore car owners:
- Estimate your annual bill with the Punjab Token Tax Calculator
- Compare provinces with the Vehicle Token Tax Calculator
- Plan purchase costs using the Withholding Tax Calculator
- Learn the basics in our Pakistan car tax guide
If you want more than one calculator, explore advanced tools at Free Calculator. Our tools give estimates for planning. Your official assessment decides the amount you pay. Our disclaimer explains the limits.
How to Learn More: Free and Paid Resources
Free resources
- The official Excise and ePay pages above, which cost nothing and show your actual record
- The Excise helpline (0800-08786) for record-specific questions
- Our free vehicle tax guides and calculators
- Your registration book and smart card, which hold the engine capacity and registration details
Paid resources
- A tax advisor or accountant if your filer status, import history, or ownership transfer is complicated
- A registered agent or car dealership service that handles registration paperwork
- A lawyer if you're disputing an assessment or a seizure
For most Lahore owners with a standard private car, the free tools are enough. Pay for help when the situation is unusual, not when it's routine.
Real-World Examples
The owner who thought they'd paid. Hamza drives a 1300cc car and paid through a relative in June. When he checked MTMIS in October, the record showed the previous year's payment. The relative had paid the wrong vehicle. He caught it by checking his own registration number, and he paid the correct amount before enforcement reached him. Lesson: verify after paying.
The buyer of a used car. Ayesha bought a used 1500cc car in Lahore. The seller said token tax was current. The online record showed arrears from two years. She negotiated the price down and cleared the dues before transfer. Lesson: check tax status before you hand over money.
The non-filer surprise. Imran owns an 1800cc car. His token was Rs 19,500, but his income tax component was Rs 13,500 because he wasn't on the Active Taxpayer List. After he became a filer, the same component fell to Rs 4,500 in a later year. Lesson: filer status changes your yearly bill, not just your income tax return.
The expat owner. Sana lives abroad and keeps a car in Lahore for family use. She uses ePay each August, checks the receipt, and asks a family member to confirm on MTMIS. Lesson: online payment works from anywhere.
Future Outlook: Where Vehicle Tax in Punjab Is Heading
The direction of travel is clear.
- Value-based taxation. Punjab moved from fixed amounts to a percentage of invoice price for cars above 1000cc. Other regions have started to follow, as the Islamabad change shows.
- More digital enforcement. Online records, road checks, and tighter recovery make "I'll pay later" riskier each year.
- Incentives for early payment. The August 31 rebate rewards owners who plan ahead, and similar windows are likely to recur.
- Policy support for electric vehicles. The official page lists a 95% exemption on registration fee and motor vehicle tax for electric vehicles.
For owners, the practical response is simple. Know your invoice price, pay early, and keep digital receipts.
Frequently Asked Questions
What is Lahore car token tax for 2026?
Lahore uses Punjab's province-wide schedule. For 2026-27, cars up to 1000cc pay a Rs 20,000 lifetime token, cars from 1001cc to 2000cc pay 0.3% of invoice price annually, and cars above 2000cc pay 0.4%. Federal income tax and Rs 200 professional tax are added.
How can I check my car token tax online in Lahore?
Open the Punjab Excise MTMIS vehicle verification portal or the ePay Punjab app, enter your registration number, and read the tax status. Take a screenshot of the result.
How do I pay vehicle token tax online in Punjab?
Open ePay Punjab, choose Excise & Taxation, select Token Tax, enter your registration number, review the amount, and pay. Download the receipt, and recheck the MTMIS record afterward.
How much is token tax for a 1000cc car in Punjab?
A car up to 1000cc pays a lifetime token of Rs 20,000, one time, according to the Punjab Excise table. The official page also notes a charge at transfer within ten years, reduced by 10% for each financial year.
How much token tax does a 1500cc car pay in Lahore?
A 1500cc car falls in the 1001cc to 2000cc band, so it pays 0.3% of invoice price. For example, an invoice price of Rs 5,000,000 gives Rs 15,000. Add Rs 3,750 federal income tax for filers (Rs 11,250 for non-filers) and Rs 200 professional tax.
What happens when car token tax is not paid?
Officials said defaulters after September 30, 2026 would pay the outstanding tax plus an equal penalty, and that vehicles with unpaid tax could be impounded during checks. The law allows penalties up to twice the tax. Confirm your exact amount on your Excise assessment.
Conclusion:
Lahore car token tax in 2026 comes down to three numbers: your engine band, your invoice price, and your filer status. Get those right and the bill is easy to calculate. Get them wrong and you can overpay or fall behind without knowing.
Here is a simple action list:
- Check your record on MTMIS using your registration number.
- Estimate your amount with the Punjab Token Tax Calculator and compare it with your official assessment.
- Pay through ePay Punjab and save the receipt.
- Recheck the record after a day to confirm it shows as paid.
- Set a reminder for August 31, 2027 to catch the 10% rebate next year.
If you're already past the deadline, don't wait. Check your exact dues and pay as soon as you can. Call the Excise helpline if the assessment looks wrong.
Ready to plan smarter? Book a seat at Advance Free Tools offered by Free Calculator and use our calculators to estimate every vehicle tax before you pay.