Central government which mostly remained mute in several controversies between both the Telugu states opted for similar stance in the ongoing Entry Tax controversy. Union Transport Minister Nitin Gadkari brushed the issue aside by telling that the Entry Tax issue is totally in purview of the Telangana government.
On the other side, Telangana government defended its stand on the issue saying that it has right to collect taxes after the state division. Transport Minister Mahender Reddy said the entry tax should have come in to effect from December but it took time for the new state. He also said Telangana is losing income with out the entry tax till now.
Telangana government claims that it has collected 50 Lakh Entry Tax from vehicles at Kodada, Vadapalli and Nagarjuna Sagar checkposts. It is estimated that there are 32 Lakh lorries and 800 private buses in AP and most of these do extensive business in Telangana.
