Andhra Pradesh income after the state bifurcation may not be as bad as expected. According of location of businesses, it is estimated that AP will get 18% of income and Telangana will get 82% income. But this calculations may go wrong now. Reason for this is the inter state Central Service Tax. In case traders pay their taxes in Hyderabad for their businesses in AP, they will have to pay this 2% of CST extra.

In order to avoid it, most traders are going to pay VAT to AP government for business carried out there. There are 3 Lakh VAT dealers in United State and now 1.5 Lakhs of them have enrolled in AP. Traders have to file returns on July 20th for transaction After the appointed day, June 2nd to June 30th. So, we will get an idea regarding the income by July 20th. The income of Telangana and Andhra Pradesh combine is expected to be 60000 Crores this year. Last year the united state got 55000 Crores income.