Telangana Transport Revenue Reaches Rs 7097 Crore in FY26 Driven by Tax Collections

• Telangana transport revenue crosses Rs 7097 crore
• Lifetime taxes lead Telangana transport revenue growth
• EV incentives boost Telangana transport sector

The Telangana Transport Department has reported a strong revenue performance for the financial year 2025 to 2026, collecting over Rs 7097 crore. While the department did not fully meet its target, it achieved more than eighty three percent of the expected revenue, reflecting steady growth compared to the previous year.

A significant share of this revenue came from lifetime taxes, which alone contributed over Rs 4714 crore. Quarterly taxes also added substantially to the total, bringing in more than Rs 961 crore, while green tax collections stood at around Rs 78 crore.

In addition to tax collections, the department generated income through various fees and service charges, contributing over Rs 820 crore. Enforcement activities such as challans and inspections also played a role, adding hundreds of crores to the overall revenue.

Despite setting a higher target of Rs 8535 crore for the April to December period, the department managed to collect Rs 7097 crore. Officials noted that the achievement still represents consistent growth, with a rise of nearly three percent compared to the previous financial year.

The department has also been actively promoting environmentally friendly transportation. As part of this effort, a large number of electric vehicles were granted lifetime tax exemptions, encouraging adoption across the state. Over ninety thousand electric vehicles benefited from these incentives, amounting to tax relief worth several hundred crores.

Officials believe that continued focus on tax compliance, enforcement, and green mobility initiatives will further strengthen revenue streams in the coming years. The performance highlights Telangana’s evolving transport sector and its efforts to balance revenue generation with sustainable development.