Hyderabad: Despite being a key revenue generator for the state treasury, the Regional Transport Authority (RTA) missed its financial target for the fiscal year 2024-25 by Rs 1,400 crore.
According to transport department data, the RTA collected Rs 6,761 crore against a set target of Rs 8,178 crore — achieving only 82% of its goal.
Officials attributed the shortfall mainly to reduced life tax collections, driven by tax exemptions on electric vehicles (EVs) and a dip in vehicle registrations.
“Since the EV policy was introduced last Nov, a tax exemption of Rs 197 crore was granted on 29,250 registered electric vehicles in the state,” said a senior RTA official.
A slowdown in district-level vehicle registrations also contributed to the revenue gap, officials added.
The RTA’s revenue streams include life taxes, quarterly taxes, fees, service charges, and detection charges. The authority’s daily revenue typically stands at around Rs 20 crore.
In 2024-25, life tax collections amounted to Rs 4,915 crore, while quarterly tax revenue reached Rs 900 crore. Fee collections contributed Rs 538 crore, and revenue from detection charges surpassed the target of Rs 186.03 crore, reaching Rs 203.54 crore — an achievement rate of 109.49%.
Despite the recent shortfall, the RTA has nearly doubled its revenue over the last five years. In 2020-21, collections stood at Rs 3,228 crore, rising to Rs 6,761.81 crore in 2024-25.