A Quick Guide for (Filers vs. Non-Filers)
Owning a car in Pakistan comes with annual token taxes, but the amount you pay depends on your car’s engine capacity and your tax filing status. This article provides a clear breakdown of the current token tax rates 2025 for private motor vehicles, highlighting the difference between filers and non-filers.
Who is a Filer and Non-Filer?
- Filer: An individual who has registered with the Federal Board of Revenue (FBR) and submits their tax returns regularly.
- Non-Filer: An individual who hasn’t registered with the FBR or hasn’t submitted tax returns.
Token Tax Rates (PKR):
Advance tax on private motor vehicles is calculated based on engine capacity (cc) and tax filer status.
For filers, vehicles up to 1000cc are taxed at Rs. 800, while non-filers pay Rs. 1600. T
ax brackets progressively increase for higher engine capacities, with the highest tax of Rs. 10,000 for filers and Rs. 20,000 for non-filers applied to vehicles with 2000cc and above engines.
Advance tax on passenger transport vehicles is determined by the vehicle’s seating capacity and whether it is air-conditioned.
Vehicles with 4-9 passengers incur a tax of Rs. 500 for non-AC and Rs. 1000 for AC models.
For 10-19 passengers, the tax is Rs. 1500 and Rs. 2000 respectively.
Vehicles carrying 20 or more passengers are taxed at Rs. 2500 for non-AC and Rs. 4000 for AC variants.
Key Takeaways:
- Filing your taxes benefits you! Filers generally pay significantly lower token taxes compared to non-filers.
- The difference in tax rates can be substantial, especially for higher engine capacities.
- Timely filing of tax returns can save you money on your annual token tax.
Remember:
- These are the base token tax rates. Additional taxes or fees may apply depending on your vehicle’s registration location and purpose.
- It’s recommended to consult the relevant provincial excise and taxation department for the most up-to-date information specific to your region.
Considering buying a car? Factor in the token tax when calculating the total ownership cost. Are you a non-filer? Consider filing your taxes to potentially enjoy lower token tax rates in the future.
I am a filer but when i calculate token tax on line in ICT app i get full tax (normal) for my car. why not tax amount for a filer person? For example annual token tax for my car is 4000 and the same is calculated for me along with 2500 income tax
Token tax applicable in punjab or all provinces and how can I check my vehcle token tax