Expenditure estimated at Rs 1.17 lakh cr, receipts at 1.16 cr
With an eye to the impending State elections, Karnataka Chief Minister Jagdish Shettar presented a budget on Friday, which pleases almost everyone.
Shettar, who is also the Finance Minister, presented the budget with a total expenditure of Rs 1,17,005 crore anticipating robust tax collections.
Of the total expenditure estimated at Rs 1,17,005 crore, revenue expenditure is Rs 93,631 crore and capital expenditure Rs 23,374 crore. The debt repayment is Rs 5,840 crore.
“I am happy to announce that this budget facilitates a total expenditure of Rs 1,17,005 crore on various development activities and regulatory functions of the government, which is an increase of 13.88 per cent over the budget of Rs 1,02,742 crore in 2012-13,” Shettar said.
The government’s total receipts for 2013-14 is estimated to be Rs 1,15,983 crore. The budget estimates envisage revenue receipts of Rs 94,216 crore and capital receipts, including borrowing, of Rs 21,767 crore.
Revenue surplus is estimated to be Rs 585 crore. Fiscal deficit is expected to be Rs 16,714 crore, which is 2.78 per cent of GSDP. Total liabilities at Rs 1,34,472 crore at the end of 2013-14 are estimated to be 22.35 per cent of GSDP, which is within the ceiling of 25.2 per cent limit of the Karnataka Fiscal Responsibility Act for the year 2013-14.
The State’s total tax revenue for 2013-14 is estimated to be Rs 61,012 crore, with an increase of 18 per cent over the budget estimate for 2012-13.
An amount of Rs 3,838 crore is expected to be collected from non-tax revenues. The State government expects to receive Rs 14,375 crore by way of the share in the central tax and another Rs 14,991 crore as grants from the Centre.
These revenue receipts are estimated to be supplemented by gross borrowings of Rs 21,532 crore, non-debt receipts of Rs 100 crore and recovery of loans to the extent of Rs 135 crore.
For the year 2013-14, without bringing in any additional resource mobilization measures, a revenue collection target of Rs 37,000 crore has been fixed for the commercial taxes department.
Shettar said, “The department has been given revenue collection target of Rs 12,400 crore for the year 2013-14 which it would achieve through effective enforcement and regulatory measures.”
Stamps and Registration
“For the year 2013-14, a revenue collection target of Rs 6,100 crore is fixed for the department. In order to achieve this, it is proposed to reorganise and modernise the department,” he added.
Currently, on Joint Development Agreement and related Power of Attorney there is a registration fee of 1 per cent. It is proposed to fix a cap of Rs 1.5 lakh on such fee.
Motor Vehicle Taxes
For year 2013-14, the collection target is fixed at Rs 4008 crore. It is proposed to collect lifetime tax on construction equipment vehicles in one instalment instead of collecting it in two instalments as presently done and it is proposed to provide electronic payment facility in order to avoid public visiting the offices of the Regional Transport Offices for payment of tax and fees in respect of motor vehicles.
Keywords: presentation of Karnataka Budget,