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Punjab Government to Suspend Registration of Token Tax Defaulters’ Cars

Why This Step Was Taken

The Excise and Taxation Department of Punjab has observed that a large number of vehicle owners are ignoring their annual token tax payments. This causes huge revenue losses for the province and affects transparency in the vehicle registration system.
To ensure discipline and financial accountability, the government has decided to block or suspend registrations of those vehicles that have not cleared their token taxes.

Deadline for Vehicle Owners

The department has given a clear deadline to all car owners to clear their token tax immediately. After the given date, any vehicle found without updated tax records will face strict action — including registration suspension, fines, and potential impoundment during roadside checks.

How This Decision Impacts Car Owners

  • Vehicle owners will not be able to renew, transfer, or sell their cars until the token tax is paid in full.
  • Those found driving with suspended registrations may face heavy penalties or temporary vehicle seizure.
  • Even private and commercial vehicles are included in this enforcement drive, ensuring that no category is exempted.

How to Avoid Suspension

  1. Visit your nearest Excise and Taxation office or use their official online system to verify your tax status.
  2. Pay all pending token taxes before the deadline.
  3. Keep your payment receipt safe as proof of clearance.
  4. Set a yearly reminder to pay your token tax on time to avoid future penalties.

Expected Outcomes

With this action, the government aims to:

  • Improve tax collection across the province.
  • Eliminate fake or duplicate vehicle registrations.
  • Promote a culture of compliance and responsibility among car owners.

Final Words

This decision shows that Punjab is moving toward a more transparent and accountable vehicle registration system. Vehicle owners are advised to take this warning seriously and ensure that their token tax is paid in time. Failing to comply could lead to registration suspension, fines, and unnecessary legal trouble.

Timely payment of token tax not only saves you from penalties but also contributes to the province’s development and better public infrastructure.

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