Toyota Car Prices to Go Up in Pakistan – See New Rates After Tax Hike

As part of the upcoming federal budget for 2025-26, the Government of Pakistan is planning to increase taxes on vehicles with engine capacities between Toyota Car 1300cc and 1800cc. According to sources, this proposal includes a 2% tax hike, which will directly impact the prices of many mid-sized cars and compact SUVs in the country.

What Does the Tax Increase Mean?

If this 2% tax is approved and implemented, it will raise the cost of vehicles that fall within the 1300cc to 1800cc engine range. This includes popular family cars and fuel-efficient sedans, which are often preferred by middle-class buyers. As a result, the overall cost of ownership will go up, including the car’s purchase price, registration, and insurance.

How Will It Affect Toyota Car Prices?

Toyota is one of the most trusted and widely used car brands in Pakistan. Several Toyota models fall under the affected engine category. Here’s a look at the current prices of these cars compared to their expected prices after the proposed tax increase:

Model & Variant	Current Price (PKR)	Expected Price (PKR)
Yaris Sedan GLI MT 1.3	4,479,000	4,568,580
Yaris Sedan ATIV MT 1.3	4,730,000	4,824,600
Yaris Sedan GLI CVT 1.3	4,760,000	4,855,200
Yaris Sedan ATIV CVT 1.3	5,604,000	5,716,080
Yaris ATIV X CVT 1.5 (Beige Interior)	6,215,000	6,339,300
Yaris ATIV X CVT 1.5 (Black Interior)	6,319,000	6,445,380
Corolla Altis X Manual 1.6	5,969,000	6,088,380
Corolla Altis 1.6 X CVT-i	6,559,000	6,690,180
Corolla Altis X CVT-i 1.8	6,889,000	7,026,780
Corolla Altis 1.6 X CVT-i Special Edition	7,189,000	7,332,780
Corolla Altis Grande CVT-i 1.8 (Beige Int.)	7,509,000	7,659,180
Corolla Altis Grande CVT-i 1.8 (Black Int.)	7,549,000	7,699,980

These figures show how the 2% tax could add thousands of rupees to the final price of each vehicle.

What Should Toyota Car Buyers Keep in Mind?

Car buyers, especially those from middle-income households, are advised to plan their purchases wisely. Here are a few key points to consider:

• Buy Sooner if Possible: If you’re planning to buy a car in this category, doing so before the new tax is approved may help you save money.
• Look for Smaller Engine Options: Cars with engine capacities below 1300cc may remain unaffected and could be a more affordable choice.
• Watch for Manufacturer Discounts: Companies like Toyota or Honda may offer promotional deals to attract buyers ahead of the tax change.
• Compare Used Cars: With rising prices, many buyers may shift to the second-hand car market, which could offer better value.

Market Response: Will Car Sales Drop?

Pakistan’s car market has already been under pressure due to high inflation, currency depreciation, and frequent price hikes in the past few years. If this tax is implemented, it could:

• Slow down sales of mid-sized vehicles
• Force buyers to delay purchases
• Increase demand for smaller or used cars

Analysts believe that the tax will especially impact middle-class buyers, who are already struggling with the rising cost of living.

While the government’s aim may be to increase revenue through this tax, it could also make it harder for average families to afford reliable transportation. As the budget announcement approaches, both car manufacturers and buyers are keeping a close eye on the situation.

READ MORE: Pakistan Imposes Flat 18% Tax on All Small & Hybrid Cars