In a major step towards streamlining entry tax collection and reducing congestion, Himachal Pradesh Government has announced the introduction of FASTag-based entry tax collection at six key toll barriers in the first phase. The initiative is part of a larger plan to implement the system across all 55 entry points in the State in a phased manner. 

In the first phase, the FASTag-based tax collection system will be rolled out at Garamaura (Bilaspur), Parwanoo (Main), Tipra Bypass (Parwanoo), Govindghat (Sirmaur), Kandwal (Kangra), and Mehatpur (Una).

According to a government spokesperson, toll lessees will be responsible for installing, maintaining, and operating the system at their own cost, covering expenses related to the Issuer Bank, NPCI, IHMCL, and acquiring banks. They must complete all formalities within 45 days, failing which their lease will be cancelled.

The government has also announced an auction-cum-tender process for all entry tax barriers for the financial year 2025-26, with an expected 7.5 percent increase in revenue compared to 2024-25. The selected toll lessees must submit an undertaking confirming FASTag implementation, issue receipts for to-and-fro trips within 24 hours, and strictly adhere to government-approved toll rates. Overcharging will be strictly prohibited. 

To protect local commuters, the FASTag system will automatically exempt Himachal-registered non-commercial vehicles from entry tax. The software will be programmed to prevent deductions for exempted vehicles, ensuring a smooth transition for local residents.

With senior officials overseeing implementation, the government expects faster, more efficient tax collection while significantly reducing waiting times at entry points. Once fully rolled out, the FASTag-based entry tax system will modernize Himachal Pradesh’s toll management, making travel more seamless and hassle-free for commuters.