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Abstract: This paper entitled Electronic toll collection system based on Radio Frequency Identification System explained in detail based on current issues at toll collection system. There are some obstacles faced every day where the users spend their valuable time in queues at toll gates due to traffic congestion as well as using traditional manual methods in most existing toll ETC systems to collect toll from road users. Besides that, the barrier design where each vehicle stops waiting until barrier lift which considers the source of time delay. To tackle stated problems, an electronic toll collection system is proposed which is based on RFID technology. The integrated system which consists of basically two main sections, electronic sides where all the input data is received from while the database management office is where all necessary information is stored. To compare the current ETC system, this research elaborated on the internet of things where all data is transmitted through the cloud and then to the main office in real-time. Not only that, there is some enhancement based on barrier design where the gate remains open for all vehicles with sufficient tags without requiring to stop to eliminate time delay. By checking system throughput compared to existing toll systems, various tests have been carried out in different methods of the current system.