Punjab Information Technology Board (PITB) has announced a new incentive for vehicle owners across the province. Citizens who pay their Motor Vehicle Token Tax on or before 31 August 2026 will receive a 10% rebate on the payable amount. The initiative is aimed at encouraging timely payments while promoting digital payment methods.
According to the PITB, paying the Tax before the deadline allows vehicle owners to save money and remain compliant with government regulations. Officials said timely payments also help motorists avoid late payment penalties and unnecessary legal complications.
The board has advised citizens to use the e-Pay Punjab platform for making their payments. The digital platform has been developed by PITB to provide a secure, transparent, and convenient payment experience. Users can pay their dues without visiting government offices, making the process faster and easier.
Officials said the initiative is part of the Punjab government’s broader effort to increase the use of digital public services. By encouraging online payments, the government hopes to reduce paperwork, improve efficiency, and provide better services to the public.
The announcement also reminds vehicle owners to complete their Tax payments before the deadline to take advantage of the 10% rebate. Authorities believe the incentive will encourage more citizens to pay their token tax on time while supporting the province’s digital transformation goals.
The PITB also shared the latest Motor Vehicle Token Tax rates under the 2024–25 schedule. Motorcycle owners are required to pay a token tax of Rs1,500 at the time of registration.
For motor cars with an engine capacity of 1000 CC, the token tax has been fixed at Rs20,000. Vehicles with engine capacities between 1001 CC and 1199 CC are charged 0.2% of the invoice price instead of a fixed amount.
Cars with engine capacities ranging from 1200 CC to 1299 CC and 1300 CC each carry a token tax of Rs1,800. Vehicles falling in the 1301 CC to 1499 CC category are required to pay Rs6,000, which is also the applicable rate for 1500 CC vehicles.
For vehicles with engine capacities between 1501 CC and 1599 CC, as well as 1600 CC to 1999 CC, the token tax has been set at Rs9,000. Vehicles with 2000 CC engines are also subject to a token tax of Rs9,000.
Cars with engine capacities between 2001 CC and 2500 CC are charged 0.3% of the invoice price. Meanwhile, vehicles above 2500 CC are required to pay a fixed token tax of Rs15,000 under the current schedule.
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The Punjab government has encouraged all vehicle owners to complete their payments before 31 August 2026 to benefit from the rebate. Officials believe the initiative will not only help citizens save money but also strengthen the use of digital payment systems across the province.




