The Punjab Excise and Taxation Department has recently issued a circular announcing revised registration fees and updated withholding tax rates for vehicles across the region. These changes aim to simplify the taxation system and offer relief to vehicle owners. The circular outlines the specific adjustments and explains how they will affect motorists in Punjab.
New Lower Registration Fees Announced:
The circular highlights a key update: the registration fee for vehicles with engine capacities between 1501 and 2000 cc has been reduced from 3% to 2%. This change aims to provide financial relief to mid-range vehicle owners and promote ownership within this segment.
Punjab Revises Withholding Tax Structure:
The circular also outlines updated withholding tax rates for vehicles in Punjab, alongside the revised registration fees. The new tax rates vary according to engine capacity and vehicle type. Below are the revised withholding tax rates listed in the circular:
| CC Range | WHT-B1 REVISED RATES W.E.F 01.07.2023 | |||
|---|---|---|---|---|
| COLLECTED BY DEALER IN INVOICE | ||||
| Till 30.06.2023 | W.e.f 01.07.2023 | |||
| Filer | Non-Filer | Filer | Non-Filer | |
| UP TO 850 | 10,000 | 30,000 | 10,000 | 30,000 |
| 851-1000 | 20,000 | 60,000 | 20,000 | 60,000 |
| 1001-1300 | 25,000 | 75,000 | 25,000 | 75,000 |
| 1301-1600 | 50,000 | 150,000 | 50,000 | 150,000 |
| 1601-1800 | 150,000 | 450,000 | 150,000 | 450,000 |
| 1801-2000 | 200,000 | 600,000 | 200,000 | 600,000 |
| 2001-2500 | 300,000 | 900,000 | 6% of Value | 18% of Value |
| 2501-3000 | 400,000 | 1,200,000 | 8% of Value | 24% of Value |
| Above 3000 | 500,000 | 1,500,000 | 10% of Value | 30% of Value |
Implications for Vehicle Owners:
The revised registration fees and withholding tax rates in Punjab will directly impact vehicle owners across the region. Buyers of mid-range vehicles will now benefit from reduced registration fees, allowing them to save money during the registration process.
Current vehicle owners must stay informed about the updated withholding tax rates to ensure they pay taxes accurately and avoid any penalties or confusion. Knowing your vehicle’s engine capacity and its corresponding tax rate will help you manage your finances more effectively.
The Punjab Excise and Taxation Department has issued this circular to provide financial relief and encourage mid-range vehicle ownership. The lowered registration fees reflect an effort to ease the burden on motorists. Both new and existing vehicle owners need to remain updated on these changes to comply with the new tax structure. By understanding how these adjustments affect them, motorists in Punjab can better navigate the taxation system and make informed financial decisions.
[embedpost slug=”punjab-extends-free-wi-fi-access-to-22-cities-across-the-province/”]
