Shimla (Himachal Pradesh) [India], March 26 : The issue of entry tax echoed strongly in the Himachal Pradesh Assembly on Wednesday, with both treasury and opposition benches engaging in a heated exchange.
Chief Minister Sukhvinder Singh Sukhu also countered remarks made by Harpal Cheema over the matter.
During Question Hour, BJP MLAs Rakesh Jamwal and Sukhram Chaudhary, along with Congress MLA Rakesh Kalia, raised concerns regarding taxation on vehicles in the state.
Responding to the queries, Sukhu said the opposition was exaggerating the issue of toll and entry tax. He clarified that the tax applies only to commercial vehicles and has not been increased to the extent being claimed. He added that revenue from toll auctions has risen from Rs 185 crore to Rs 228 crore.
Speaking to the media in Shimla on the sidelines of the Assembly session, the Chief Minister said that entry and toll taxes have been in place for nearly 30 years and were not newly introduced by his government. He indicated that the matter would be reconsidered in a Cabinet meeting and accused the opposition of indulging in unnecessary political rhetoric.
The state government has recently decided to revise entry tax rates on vehicles entering Himachal Pradesh from other states, with new rates set to come into effect from April 1, 2026. The move has drawn objections from Punjab, with Finance Minister Harpal Cheema terming the decision inappropriate and hinting at a possible reciprocal increase in entry tax on Himachal vehicles.
Sukhu said he has already discussed the matter with Punjab's Chief Minister and Congress leaders in the neighbouring state.
On the opposition's criticism over a proposed cess of up to Rs 5 on petrol and diesel, the Chief Minister clarified that the Assembly has only passed a bill granting the government the authority to impose such a levy, and no increase has been implemented yet. The bill will become law only after receiving the Governor's assent, followed by notification.
"BJP is politicising every issue. The bill passed in the Assembly only gives the government the authority to levy a cess of up to Rs 5 on petrol and diesel; it does not mean that prices have been increased. The Act will come into force only after the Governor's assent and notification. Only then will the government decide whether to impose the cess and to what extent.
"We have taken this provision to ensure that, if imposed, the funds are directed towards the welfare of orphaned children and widowed women. Otherwise, we could have simply increased VAT. Even today, petrol and diesel prices in Himachal are lower than in states like Haryana and Punjab. The opposition is raising this issue without facts and for political gain," he added.