Punjab govt grants 99% tax exemption for EV to boost electric mobility

July 03, 2026 (MLN):  Punjab government has granted a 99% tax exemption on all electric vehicles operating on roads across the province, except those paying lump sum tax, effective from July 1, 2026 till June 30, 2027.

The exemption was notified by the Excise, Taxation and Narcotics Control Department, Government of the Punjab, in exercise of powers conferred under subsection (1) of section 13 of the Punjab Motor Vehicles Taxation Act.

The near-total waiver effectively reduces the annual motor vehicle tax burden on EV owners in Punjab to a nominal 1%.

The move aligns with Punjab's broader push to promote EV adoption amid rising fuel import costs and mounting concerns over urban air quality in cities such as Lahore.

Copyright Mettis Link News