ISLAMABAD, April 15, 2025 – The Islamabad Capital Territory (ICT) administration has announced a sharp increase in the transfer fee for vehicle ownership, sparking concern among car buyers and sellers in the federal capital.
The revised rates were notified under the authority granted by Section 43 of the West Pakistan Motor Vehicle Ordinance, 1965, in conjunction with relevant legal provisions related to the Islamabad Capital Territory Administration Order, 1980.
According to the official notification, the Chief Commissioner of Islamabad has exercised his powers to revise the fee structure for vehicle transfer under Rule 47 of the West Pakistan Motor Vehicles Rules, 1969. The new rates represent a significant hike compared to the existing charges.
Under the revised fee structure:
• The transfer fee for vehicles with engine capacity up to 1000cc has increased from Rs1,200 to Rs2,750.
• For vehicles ranging from 1000cc to 1800cc, the transfer fee has surged from Rs2,000 to Rs5,500.
The administration stated that this revision was necessary to align the fees with the rising administrative and operational costs associated with managing vehicle registration and transfer procedures within Islamabad. However, the sudden hike has drawn criticism from segments of the public who view it as an additional financial burden during a time of economic pressure.
This move is part of a broader administrative overhaul in Islamabad aimed at modernizing the registration and record-keeping system of vehicles. Authorities argue that enhanced digital infrastructure and improved services justify the increased cost. Furthermore, the government is expected to use a portion of the collected transfer fees to upgrade ICT’s transport-related services and facilities.
Car dealers and used car buyers have expressed concerns over the timing of the fee hike, stating that it could discourage legal transfer of vehicle ownership and result in delays or avoidance of proper documentation.
As Islamabad continues to evolve as a modern capital, residents are being encouraged to follow legal procedures despite rising costs. The administration maintains that the updated transfer fee structure will ultimately contribute to improved service delivery and transparency in vehicle transactions.