Sindh Doubles Motor Vehicle Tax

The Sindh Excise and Taxation Department has announced new motor vehicle taxes under the Finance (Supplementary) Act 2022. The provincial government has doubled the current tax according to the official notification.

Tax on cars with engines over 1000cc has been upped from Rs. 50,000 to Rs. 100,000 while that on vehicles with engines between 1001cc and 2000cc has been raised to Rs. 200,000 from Rs. 100,000. Additionally, all vehicles with engines above 2001cc will now pay a tax of Rs. 400,000.

The change has now rendered owning a vehicle between a small hatchback and a family sedan increasingly difficult for the common man.

This will add to the soaring cost of ownership of passenger cars, which has already seen a hefty price hike as a result of the government’s recent approval of a supplementary financial bill (mini-budget).

  • It’s not a Sindh Tax but income tax levied by the Federal Government through Finance Amendment Act, 2022.

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