Overview
- Government Orders 53 and 54 raised life tax on two-wheelers priced above ₹1 lakh from 12% to 15% and on cars between ₹10 lakh and ₹20 lakh from 17% to 18%, with additional 2% and 3% hikes for vehicles over ₹20 lakh and ₹50 lakh respectively.
- Life tax on commercial vehicles costing above ₹20 lakh and ₹50 lakh was increased to 22% and 25% respectively, a move that critics say will push up transport costs.
- BRS leader T. Harish Rao called the increases a “brutal assault” on poor and middle-class families and highlighted that a two-wheeler priced at ₹1.10 lakh will now carry an extra ₹3,200 burden.
- The Opposition estimates the hikes will generate in excess of ₹1,000 crore across Telangana and alleges the funds are intended to underwrite long-term road contracts under the Hybrid Annuity Model.
- No official rebuttal or explanation from the Telangana government has been reported following the BRS’s public criticism and revenue projections.