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No more district limits for vehicle registration in Punjab as cabinet approves amendment

Editor Isb by Editor Isb
May 13, 2025
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No more district limits for vehicle registration in Punjab as cabinet approves amendment
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Lahore: The Punjab cabinet has approved an amendment to Section 24 of the Motor Vehicle Ordinance 1965. This amendment removes the requirement to register vehicles in a specific district. Citizens in Punjab can now register their vehicles in any district.

According to an Excise Department spokesperson, registration numbers are being issued under a unified series across Punjab. There are no restrictions on moving vehicles between provinces.

In a separate move, the Punjab government has banned the registration of vehicles in other provinces.

Due to the increasing trend of vehicle registration in Islamabad, Punjab was losing billions of rupees. Officials from the Punjab Excise and Taxation Department said many citizens were registering their vehicles in the federal capital due to its lower tax rates, which negatively impacted Punjab’s revenue.

Director General Excise, Umar Sher Chattha, said token tax should be collected in the province where vehicles use the roads. The new restrictions are expected to boost revenue from token taxes.

Experts say vehicles registered in Islamabad sell faster due to higher resale value. However, Punjab’s decision is expected to significantly increase the province’s revenue. Citizens have welcomed the move.

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