Himachal Pradesh Launches FASTag Entry Tax System

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Himachal Pradesh Launches FASTag Entry Tax System

Synopsis

The Himachal Pradesh government is set to implement a FASTag-based entry tax collection system at all state toll barriers to simplify payment processes and reduce wait times for travelers. The initiative will begin with specific locations and aims to enhance overall efficiency in tax collection.

Key Takeaways

  • Introduction of FASTag for entry tax collection.
  • Implementation starting at various toll points.
  • Anticipated 7.5% revenue increase for 2025-26.
  • Toll lessees responsible for implementation costs.
  • Exemptions for Himachal Pradesh registered vehicles.

Shimla, Feb 23 (NationPress) The Himachal Pradesh administration is set to roll out a FASTag-based entry tax collection system across all 55 toll points in the state, aiming to facilitate entry tax payments and decrease wait times for travelers entering the region, an official announced on Sunday.

In the initial phase, the FASTag entry tax service will commence at Garamaura in Bilaspur district, Parwanoo (main) and Tipra bypass in Parwanoo, both situated in Solan district, Govindghat in Sirmaur district, Kandwal in Kangra district, Mehatpur in Una district, and Baddi in Solan district.

A government representative stated that the government plans to auction and tender all entry tax barriers for the fiscal year 2025-26, anticipating a 7.5 percent increase in entry tax revenue relative to the fiscal year 2024-25.

The chosen toll lessees for the designated toll sections must finalize all procedures related to the FASTag-based entry tax system within 45 days; otherwise, their lease will be revoked, the spokesperson mentioned.

These lessees will be responsible for the complete cost of installation and operation, covering fees from the issuer bank, NPCI, IHMCL, and the acquiring bank.

Senior departmental officials have been instructed to guarantee prompt implementation in their respective areas.

The spokesperson indicated that the toll lessees should provide a guarantee confirming the implementation of the FASTag-based entry tax system at their own cost. Furthermore, they are required to provide receipts to commuters who undertake round trips within 24 hours, and they are strictly forbidden from charging amounts exceeding the sanctioned toll rates.

Currently, all vehicles registered in Himachal Pradesh, with the exception of heavy commercial vehicles, are exempt from entry tax, and the FASTag software will include a feature to ensure that no deductions are applied for exempted vehicles.

The spokesperson emphasized that this initiative intends to improve travel convenience and enhance the efficiency of entry tax collection throughout the state.