Overview
- The National Assembly Standing Committee on Finance approved the revised token-tax schedule on Saturday, June 20, increasing charges on vehicles registered in Islamabad.
- Under the new structure vehicles made after 2010 will pay Rs6,200 instead of Rs1,500 and the 1,000–1,300cc band will move from 0.3% to 0.25% of invoice value.
- Reporting differs on the fixed levy for cars up to 1,000cc with some briefings saying Rs10,000 and others saying Rs20,000, a discrepancy officials have not yet reconciled publicly.
- Officials told the committee Islamabad now collects about Rs3.9 billion a year from token tax and expects collections to rise to roughly Rs5.2 billion after the change; about 19% of current collections are digital.
- Several committee members, including Javed Hanif Khan, Sharmila Faruqi and Hina Rabbani Khar, warned the increase will hit the middle class and urged alternatives such as longer-term payment models or clearer justification for annual collection.