Excise Department Flags Over 450,000 Vehicles as Token Tax Defaulters

The Excise and Taxation Department has declared more than 450,000 vehicles as token tax defaulters, with combined outstanding liabilities of close to Rs. 5 billion, according to department officials. The figure reflects a significant backlog in vehicle taxation that authorities are now moving to address through enforcement and system-level restrictions.

Director Motors Shahid Geelani said the department has already collected over Rs. 4.25 billion in token tax from around 400,000 vehicle owners during the first four months of the current fiscal year. The collection figures indicate that a large share of registered vehicle owners are complying, though a substantial number remain outside the tax net.

To tighten enforcement, Geelani said the registrations of major defaulters have been suspended within the department's system. Defaulters will also be required to pay the outstanding tax along with penalties this year, adding to the cost of delaying payment.

The department has additionally set up checkpoints at eight locations across the city to inspect vehicles and take legal action against those found to be in default. These checkpoints are intended to identify non-compliant vehicles directly and reinforce the message that token tax obligations cannot be ignored.

Geelani appealed to vehicle owners to pay their token tax on time to avoid legal action, financial penalties, or the suspension of their vehicle registrations. The department's combined approach of system suspensions, roadside checks, and penalty charges signals a stricter stance on token tax compliance in the months ahead.