The Director General of Excise and Taxation, Lahore, Umar Sher Chatha, has decided to take strict action against token tax defaulters. He directed to suspend the registration of vehicles with unpaid token tax and that these should be blocked in the system.
Chatha emphasized that many vehicle owners are still not paying their token tax despite repeated awareness campaigns. To address this, he has ordered a crackdown on major defaulters, including the seizure of their vehicles and issuance of challans to those who have defaulted for over a year.
The DG Excise has also instructed authorities to strengthen checkpoints across Punjab and accelerate the tax collection process.
According to Excise officials, nearly 1.3 million vehicle owners across Punjab pay their annual token tax. However, in Lahore, over 800,000 vehicle owners have paid their dues, while more than 500,000 vehicles still have outstanding payments.
The officials further revealed that approximately PKR 2.75 billion in token tax remains unpaid in Lahore alone.
To ensure effective recovery, authorities plan to coordinate with banks and leasing companies to collect token tax on vehicles registered under their names.