State to reconsider steep entry fee hike for non-HP vehicles
Shimla, March 24 -- The state government on Monday decided to re-consider the decision of increasing the rate of entry fee on non-Himachal vehicles and sought a review from the excise and taxation department.
A few days earlier, the Himachal government had decided to increase the entry tax for vehicles from other states from the present Rs.70 to Rs.170. Similar steep hikes were implemented across the entry fee structure for various other vehicle categories as well.
The decision follows a conversation between Himachal chief minister Sukhvinder Singh Sukhu and the Punjab CM Bhagwant Mann, after an uproar over the decision and Punjab's threat of reciprocal action.
Industry minister Harshwardhan Chauhan, after a cabinet meeting, said, "The matter had come up for discussion during the meeting and the CM had even talked to the Punjab CM Bhagwant Mann on the issue asking for specific objections."
"The maximum objection is on the increase of entry tax from Rs.70 to Rs.170 upto six seater while in other categories the increase is very nominal. On Monday, the matter was deliberated at length in the state cabinet meeting in which CM Sukhu has issued directives to the excise department in this regard," he added.
The vehicles from other states, entering Himachal, were levied with entry tax. These were recently hiked, inviting criticism. There are six such entry barriers across the state where these entry fees are collected. In response to this issue, the Punjab government had also begun preparations to impose a reciprocal entry tax within its own territory.
On whether the state government will reverse the hike, Chauhan said, "The tender for the border areas has been done and deliberations are ongoing to see how that can be corrected. The CM has sought a review from the excise and taxation department and a solution to this issue will be found after their report."
While speaking on the development, former CM Jai Ram Thakur said their opposition proved effective, highlighting that they had taken a firm stand and staged protests against the move. The former CM argued, "HP is an international tourist destination, and this decision would have caused a decline in the state's revenue while resulting in significant overall detriment. The decision subjected the government to public ridicule and reconsideration of the matter was indeed necessary."
PWD minister Vikramaditya Singh, said, "A balance would be struck with Punjab regarding this issue, noting that the decision was originally taken to boost Himachal's revenue-a right to which the state issentitled. Chief minister has already held discussions with the CM of Punjab regarding this matter."...
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