One-year ban on transfer of imported vehicles in Punjab

The Punjab Excise and Taxation Department has imposed a one-year mandatory holding period before the ownership of certain imported vehicles can be transferred after registration. Under the new policy, the vehicle must remain registered in the name of the importer for one year; only then can it be transferred to another buyer.

This restriction applies to vehicles imported into Pakistan under the 'Gift' and 'Transfer of Residence' schemes. The Punjab Excise Department has also incorporated a system check to prevent the transfer of vehicle ownership before the stipulated period has elapsed.

Federal Government's New Policy

This change follows SRO 61(I)/2026, issued by the Ministry of Commerce on January 15, 2026. Through this order, the federal government abolished the 'Personal Baggage Scheme' and mandated that vehicles imported under the 'Gift' and 'Transfer of Residence' schemes remain non-transferable for one year from the date of import.

According to the government, the aim of these changes is to curb the misuse of vehicle import schemes for commercial purposes. Additionally, the mandatory interval between successive imports under these schemes has been extended from 700 days to 850 days.

Impact on Buyers and Dealers of Imported Vehicles

According to the Punjab Excise Department, imported vehicles account for approximately 20 percent of all vehicle registrations in the province. With this new requirement, individuals involved in the buying and selling of imported vehicles will have to wait for the completion of the one-year period before ownership can be transferred. Under the new system, once a vehicle is registered in the importer's name, it cannot be transferred to another person until the stipulated one-year period has elapsed; this measure could impact the dealings of buyers, sellers, and dealers of imported vehicles.