Chandigarh, March 11: The Punjab Government is considering the implementation of an entry tax on vehicles registered in Himachal Pradesh as a reciprocal measure. Finance and Excise and Taxation Minister Harpal Singh Cheema informed the Punjab Vidhan Sabha on Wednesday that the state is evaluating legal options to introduce these charges. The move comes in response to the Himachal Pradesh Government’s decision to significantly increase entry fees for all non-Himachal registered vehicles entering the hill state from April 1, 2026.
Addressing a query raised by Rupnagar MLA Dinesh Kumar Chadha, Minister Cheema stated that the proposed hike in the neighboring state would see entry fees for private cars and light motor vehicles jump from ₹70 to ₹170. He maintained that such “illegal levies” place an undue burden on Punjab’s residents, particularly daily commuters and transporters in border districts. The Minister declared that the Punjab Government intends to safeguard its citizens from what is being perceived as double taxation, asserting that the state must explore similar frameworks for vehicles crossing into Punjab from Himachal Pradesh.
Finance Minister Cheema affirmed that he will coordinate with the Local Bodies Minister to determine if municipal councils along the Punjab-Himachal border can independently implement these entry fees. He asserted that the administration is acting with caution and will consult the Advocate General and legal experts to ensure the framework stands up to judicial scrutiny. The Minister maintained that while the neighboring state cites revenue mobilization as a reason for the hike, Punjab must prioritize the economic interests and ease of movement for its own people.