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Revenue for states: Bring cess, surcharge in divisible pool newindianexpress.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from newindianexpress.com Daily Mail and Mail on Sunday newspapers.
'Special officer' rule ends in Andhra Pradesh civic bodies deccanchronicle.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from deccanchronicle.com Daily Mail and Mail on Sunday newspapers.
Sanjeev Ahluwalia | A bottom-up view of the annual Budget Published : Feb 14, 2021, 4:35 am IST Updated : Feb 14, 2021, 4:35 am IST Despite the hoopla around the Union government’s Budget, for citizens, allocations in their state budgets matter more For citizens, at the receiving end of the pipe, what matters most is the efficiency and effectiveness of the last-mile expenditure management by the state governments. (Photo: PTI) Despite the hoopla around the Union government’s Budget, for citizens, allocations in their state budgets matter more. Nearly two-thirds of total government expenditure is done by states and for capex, this proportion increases to 90 per cent (FY 2020-21 BE data).
XV finance panel projects healthy growth in State’s finances in coming years Updated: Updated: Double digit growth estimated in revenue receipts, including own tax revenues Share Article Double digit growth estimated in revenue receipts, including own tax revenues The XV Finance Commission has forecast healthy financial situation for Telangana over the next five years notwithstanding the concerns over the pace of recovery of the economy which was slowed down by COVID-19 pandemic. The Commission has projected double digit growth for the State’s GSDP and revenue receipts for the five-year period 2021-22 to 2025-26 while the tax to GSDP ratio is likely to range between 7.5% to 8.3% during the period. According to the assessed own revenue receipts projected in the report, the State’s GSDP is expected to grow from 10.28 lakh crore during 2021-22 to ₹16.25 lakh crore by 2025-26 registering over 10% growth each year.
Updated: Share Article AAA The XV Finance Commission has suggested that the State should continue its efforts to sustain higher revenue from its own sources, both tax and non-tax. The Commission appreciated the State government for its low dependence on Central transfers indicating greater resilience on own resources that most other States. The Central transfers constituted less than 27% of the total revenue receipts of the State in 2018-19. The State also achieved relatively higher own tax receipts to GSDP ratio which stood at 7.5 the same year. Commenting on the fiscal discipline, the commission said the fiscal deficit-GSDP ratio of the State jumped from 3.3% in 2015-16 to 5.4% the next year and thereafter, declined to 3.1% in 2018-19. The debt-GSDP ratio rose from 17% to 22.9% between 2015-16 and 2018-19.
'Debt waiver schemes of Telangana had implications amounting to ₹ 17,000 crore' The XV Finance Commission has expressed concern over the farm loan waivers announced by States like Telangana, that had an impact on their finances. “An increasingly important factor, and a worrying one, that has begun to impact the finances of States are the farm loan waivers that have been announced by various States since 2014,” the XV Commission said in its report. The Commission recalled that the RBI’s study of State budgets highlighting the debt waiver schemes of Telangana and neighbouring Andhra Pradesh announced in 2014 had significant implications amounting to ₹ 17,000 crore (3.4 per cent of GSDP) and ₹ 24,000 crore (4.6 per cent of GSDP) respectively.
FC suggests user charges on Kaleshwaram project to generate revenue Updated: Updated: Share Article AAA The XV Finance Commission has suggested that the State should try to generate adequate revenue, “say through user charges,” to at least cover the operations and maintenance cost of Kaleshwaram project. The Commission, in its observations on the State’s performance, said the Kaleshwaram lift irrigation project, a flagship programme of the Telangana government taken up at an estimated ₹80,000 crore, was aimed at serving over 18 lakh acres of farmland. However, lift irrigation invariably notches up a massive electricity bill, bringing to question, the financial viability of the project in the absence of a guaranteed revenue stream.
Panel studying financial implications of PRC Updated: Updated: Three-member committee also looking at the demands of employees Share Article Three-member committee also looking at the demands of employees The three member committee headed by Chief Secretary Somesh Kumar started evaluation of financial implications of the recommendations made by the Pay Revision Commission on the State exchequer. The committee resolved to examine in detail the financial implications on account of the requests made by the employees associations. The Finance department was asked to submit a report in this regard to the committee duly examining all applications in detail and the financial implications to help decide further course of action.
Centre partially concedes State’s request relating to CSS Updated: Updated: TS was all for bringing down the number of centrally-sponsored schemes Share Article TS was all for bringing down the number of centrally-sponsored schemes The Central government appears to have partially conceded the State’s request related to bringing down the number of centrally-sponsored schemes (CCS). Union Finance Minister Nirmala Sitaraman said in her budget speech in Lok Sabha on Monday that a detailed exercise had been undertaken to rationalise and bring down the number of centrally sponsored schemes on the recommendations made by the XV Finance Commission. The exercise would enable consolidation of the outlays for better impact.