In the 2004 assembly elections, the TRS formed an alliance with Congress (I) and won 26 state assembly seats. The party also won 5 parliament seats at the national level. It joined the governments at both state and central level. In September 2006 the party withdrew support for the central government on the grounds of indecision by the government over the delivery of its electoral promise to create Telangana, which was also put in the Common Minimum Program (CMP).
The party repeatedly assured the people of Telangana that the formation of the new state was on the cards and could happen 'any moment.' When the Central government failed to deliver Telangana, the party withdrew support from the government. On 13th September 2006, Rao triggered a by-election in his Lok Sabha constituency of Karimnagar, claiming provocation from one of the Congress MLA. He won the subsequent by-election with a strong majority.
All TRS MLAs and MPs resigned their positions in April 2008 when the Central government did not meet their demand for a separate state in its latest budget session for the 5 year term. The by-election was held on May 29th 2008.
In the bye-elections, 2008,TRS won 7 out of the 18 assembly segments and 2 out of the 4 loksabha segments. TRS Chief K. Chandrasekhar Rao tried to resign after he lost a number of seats in by elections. He was convinced to strengthen party for next elections.
TRS Chief playing important role to form another political front with help of BSP.==Notes==