EVs get major tax and registration relief in Sindh

KARACHI: The Sindh Cabinet has approved the extension of tax and registration incentives for electric vehicles (EVs) for another two years, as part of the provincial government’s efforts to promote clean and sustainable transportation.

The decision was taken at a cabinet meeting chaired by Sindh Chief Minister Murad Ali Shah.

Under the approved package, the registration fee for electric vehicles will remain at Rs1,000, while the annual motor vehicle tax for non-commercial EVs will continue at Rs500.

Electric motorcycles will be subject to a one-time lifetime motor vehicle tax of Rs500, while electric vehicles with engine capacities equivalent to 2,000cc or above will attract a luxury tax of Rs5,000. A Rs1,000 penalty has also been approved for delayed registration.

The incentives will remain in effect from May 30, 2026, to May 29, 2028.

Chief Minister Murad Ali Shah said promoting electric vehicles was a key government strategy to reduce dependence on imported fuel, lower carbon emissions and improve air quality.

He also stressed that continued tax incentives would encourage EV adoption and help attract investment in Sindh’s growing electric mobility sector.