SCB stops collecting toll taxes; residents hope for ease in traffic movement soon

The SCB had been collecting toll tax at certain entry points, where goods vehicles entered the Cantonment belt, since 1965.

After more than five decades, toll tax collection in the Secunderabad Cantonment Board (SCB) has been lifted, following the latest gazette notification issued by the Ministry of Defence (MoD).

The Ministry decided to discontinue the collection of toll tax from goods vehicles from all check posts within the SCB limits and issued a notification on April 11, after over six months of a final resolution being passed during the SCB’s board meeting held in September last year. 

The MoD had asked the CEOs of all 62 Cantonments across India to implement the order to ensure the smooth movement of goods vehicles and for the ease of living and doing business. 

The SCB had been collecting toll tax at certain entry points, where goods vehicles entered the Cantonment belt, since 1965. Even as the public heaves a sigh of relief, the SCB is trying to compensate for the loss in revenue which was generated via the toll taxes. 

The SCB was collecting about ₹9.50 crore annually through the toll taxes, said SCB CEO, D.Madhukar Naik, adding that they are still awaiting the Octroi GST funds to be released by the state. “Following the gazette notification, which was issued on April 11, we ordered the private agency hired to collect the taxes to remove all the check posts overnight. Though the Centre has been disbursing the Octroi GST funds, the State is yet to release them. We will be writing to the Chief Secretary of Telangana about the same as it will compensate us to mitigate the financial loss that came with the revoking of toll tax. As of now, we have limited resources and we cannot hike property tax. We are looking at other ways to manage the funds for SCB,” said Mr.Naik. 

Speaking on the benefits of the decision, social worker Telukunta Satish Gupta said that the public is thankful to the Centre. “The public is benefiting through this move and ease of traffic will also be seen. We thank the Centre and the SCB CEO for implementing the decision overnight and making sure that the public is also aware of the rule with the help of signboards across the Cantonment area,” he said.