This Project focuses on an electronics toll collection(ETC) system using Radio frequency identification(RFID) technology.The RFID system uses tags,through which information embedded on the tags are read by RFID readers,the proposed system eliminates the need for motorists and toll authorities to manual perform ticket payments and toll fee collections ,respectively.Thus it is more efficient toll collection by reducing traffic and elimination possible human errors. This system allows the vehicle drivers to pass the toll tax booths without stopping at the toll booths.The toll amount is deducted from the RFID card.This RFID card is rechargeable and account is stored on the records.This system will have two benefits.First benefit is Movement of traffic will be much faster as user will not wait to give the money because,driver has to just show the RFID card in-front of the card reader.Second benefit is that driver does not have to carry the money each time.He will just recharge the RFID card,by certain amount and will use the card each time he travels.