Karachi, November 4, 2023 – Pakistan has successfully collected a substantial amount of Rs 8.98 billion in motor vehicle tax during the first quarter of the fiscal year 2023-24 (July to September).
This marks a significant increase of 3.57 percent when compared to the collection of Rs 8.67 billion in the corresponding period of the previous fiscal year.
The collection of motor vehicle tax is an essential source of revenue for the government, with the provinces being responsible for its collection within their respective jurisdictions. These funds are instrumental in supporting various public services and infrastructure projects across the country.
Official statistics have revealed that the province of Punjab led the way in terms of volume, collecting Rs 5.54 billion during the first quarter of the current fiscal year. This represents a modest 1.1 percent growth when compared to the Rs 5.48 billion collected in the same period of the previous fiscal year. Punjab’s consistency in revenue collection showcases the significance of the motor vehicle tax for the province’s financial resources.
Sindh province also exhibited a commendable 4.51 percent growth in the collection of motor vehicle tax, amounting to Rs 2.55 billion in the first quarter of the current fiscal year. This is a notable increase when compared to the Rs 2.44 billion collected in the same period of the previous fiscal year. The province’s efforts in increasing tax revenue are aimed at supporting its development initiatives and public services.
The province of Khyber Pakhtunkhwa demonstrated the highest growth rate among all provinces, with an impressive 19.81 percent increase in the collection of motor vehicle tax during the first quarter of fiscal year 2023-24. The province collected Rs 635 million as compared to the Rs 530 million in the same period of the previous fiscal year. This remarkable growth reflects Khyber Pakhtunkhwa’s commitment to enhancing its financial resources for the betterment of its citizens.
Lastly, Balochistan also made significant progress in the collection of motor vehicle tax, posting an 18.60 percent increase to reach Rs 255 million during the first quarter of the fiscal year 2023-24. This substantial growth is compared to the Rs 215 million collected in the same period of the previous fiscal year. Balochistan’s efforts in revenue collection are vital for the province’s development and infrastructure projects.
The increase in motor vehicle tax collections across various provinces is a positive sign for Pakistan’s fiscal health. It indicates that the government is effectively mobilizing resources and promoting fiscal discipline. These funds can be instrumental in supporting a range of public services, including the maintenance and development of transportation infrastructure, law enforcement, and other essential initiatives.
It is important to note that tax collections are a key component of the government’s efforts to meet its budgetary requirements, address fiscal deficits, and invest in the nation’s economic growth. As such, the diligent collection of motor vehicle tax demonstrates the commitment of the provinces to financial stability and sustainability.
