Shimla: In a major policy reversal, Himachal Pradesh Chief Minister Sukhvinder Singh Sukhu on Tuesday, March 31, 2026, announced the withdrawal of the proposed hike in state entry tax. The decision came just hours before the new rates were scheduled to take effect at midnight. The government’s “U-turn” followed intense pressure from transport unions and local organisations, particularly along the borders with Punjab and Haryana, where protesters had gathered to block entry points.
The planned tax hike had sparked widespread resentment among tourists and pilgrims who frequently travel to Himachal’s religious and scenic destinations. Tension was notably high at the entry barriers on the Kiratpur Sahib and Kullu-Manali roads, where various unions had mobilised for large-scale demonstrations. Critics argued that the increased fees would make travel prohibitively expensive and hurt the state’s vital tourism industry, which is already recovering from previous seasonal fluctuations.
While the withdrawal provides immediate relief to commuters, some activists are pushing for further concessions. Gaurav Rana, convener of the Punjab Morcha, stated that their ultimate goal remains the permanent removal of all entry plazas, alleging that these barriers are an illegal financial burden on the public. For now, the status quo remains in place, and the state government has indicated it will reassess the fee structure to balance revenue needs with public interest.
