LAHORE: The Punjab government is considering a significant increase in the annual tax on personal vehicles, proposing a 100pc hike as part of efforts to regulate traffic congestion and reduce environmental pollution. The proposal, part of a broader traffic reform initiative, has been submitted by Inspector General of Police Dr Usman Anwar to the provincial government for approval.
The summary, drafted by Lahore Chief Traffic Officer DIG Athar Waheed, has been sent to the provincial assembly through amendments to the existing laws. The proposed annual tax increase is expected to encourage citizens to shift towards public transportation, ultimately reducing the number of vehicles on the road and mitigating the growing issue of traffic congestion in urban centers, particularly in Lahore.
The document highlights that higher taxes on personal vehicles would not only contribute to improved traffic management but also help in reducing vehicular emissions, which remain a major source of air pollution in Punjab. By making vehicle ownership costlier, the initiative aims to promote the use of public transit and other eco-friendly transportation alternatives.
The proposed amendment seeks changes to Section 3 and the corresponding Schedule of the Motor Vehicle Taxation Act, 1958, to facilitate the implementation of the annual tax increase. If approved, it will lead to a substantial rise in the annual financial burden on vehicle owners across the province.
The initiative aligns with global best practices where increased taxation on personal vehicles has been used as a measure to regulate excessive vehicle usage and promote public transportation. The summary also argues that such measures will improve road discipline, ease traffic congestion, and contribute to environmental sustainability.
The final decision on the proposal now rests with the Punjab provincial cabinet, which will determine whether the amendment will be approved and implemented.
The Punjab government is also considering a major increase in traffic fines as part of a new proposal aimed at improving road safety and enforcing stricter traffic laws. The proposal, submitted by Punjab Police, suggests increasing fines based on vehicle type and introducing a new penalty system for repeat offenders.