Responding to the petition filed by the private travels associations challenging the Telangana government’s G.O. on entry tax, the high court allowed the Telangana government to collect the entry tax from the Andhra vehicles entering into the state. However, the court asks the government not to use the money collected from the AP vehicles until this case is resolved by it. The court suggests the government to open a separate bank account for this purpose.

The court asked the AP and Telangana governments to file counters on this petition. Hence, all the vehicles entering into Telangana state from the AP baring the state registration have to pay three months entry tax at the check posts from now onwards. If so, the private travels operators and the goods transporters will straight away transfer that additional burden onto the people. Hence, people of both states may be effected with this entry tax. The AP government is not collecting any entry tax from the Telangana vehicles entering into the state. If it also start collecting entry tax, then the burden on the people may further increased.