After getting a favourable judgement over the division of assets in the institutions under Section 9 of AP Reorganization Act, Andhra Pradesh government seem to have arrived at a conclusion that Courts are more reliable than the central government. The state government is planning to approach the Supreme court on various contentious issues.
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Currently, the businesses operating in Andhra Pradesh have their headquarters in Hyderabad and so are paying all the necessary taxes to Telangana government. According to an estimate, AP government is losing 3000 Crore due to this. Despite several requests, Center did not pay any heed to the issue.
This is happening due to a faulty clause in AP Reorganization Act. Finally, AP government has decided to knock the door of Supreme Court on this issue. GST will solve this problem once it comes into effect, but AP government is keen on getting back the lost taxes from Telangana.
