Bengaluru, Mar 5: Karnataka is facing unprecedented economic difficulties following a Rs 8,887 crore reduction in the state's share in central taxes, cut in allocation under 15th finance commission and a Rs 3,000 crore hit in GST compensation, Chief Minister B S Yediyurappa indicated on Thursday.
Presenting the state budget for 2020-21 in the Assembly, he said Karnataka's share in central taxes has come down by Rs 8,887 crore in 2019-20 as per the revised budget estimates of the central government. Therefore the state's revenue resources have been reduced. Apart from this, Rs 3,000 crore GST compensation will also be reduced as collection from the GST compensation cess is not as expected, the Chief Minister said. "With all this it has become difficult to reach to reach the 2019-20 budget targets and to manage this situation within the bounds of the Karnataka Fiscal Responsibility Act, an inevitable situation has arisen this year to cut down the expenditure of many departments," he added.
As per the interim report submitted by the 15th finance commission, there is a reduction in the state's share of central taxes to 3.64 per cent compared to 4.71 per cent fixed by the 14th finance commission. In view of this, there will be a reduction of Rs 11,215 crore in the state's share of central taxes in 2020-21 budget, when compared to the previous one.
He, however, noted that the allocation recommendation of the 15th finance commission is limited to one year only and the complete report for the period 2021-22 to 2025-26 will be submitted in October 2020.
"Our government will soon submit a revised memorandum to the commission to set right the loss caused to the state with regard allocation for the year 2020-21 and give more allocation for the remaining period," the Chief Minister said. He also said, when compared to the previous year, there is an increase of approximately Rs 10,000 crore for 2020-21 with regards to government employees salary, pension and interest on government loans, but there is no proportionate increase in resources as compared to committed expenditure. "Due to this reduction of the state's share of central taxes as per the 15th finance commission report and other developments, serious difficulties are being faced in resource mobilisation efforts of the state," Yediyurappa said. "This magnitude of economic difficulties was never faced in the previous years by our state," he added.
However, the state's own tax revenue collection is excellent during this year, he said. As compared to the previous year, there is a growth of 14 per cent in State GST collection. "Based on this, in the new budget, efforts are being made to manage the reduction in the share of central taxes by stabilising the state's own resources more", the Chief Minister said.
Karnataka recorded a gross state domestic product growth rate of 7.8 per cent in 2018-19 and Yediyurappa said for the current financial year it is estimated to be 6.8 per cent.
Comments
Burnol time for some people here.. Welcome to the Original Religion.
mr thogadia several poor adivasi hundus are embrasing islam and christaianity becuase of your caste system in hinduism. try to help these poor hindus.
Oh yeah!!! IN YOUR DREAMS....right.Happy dreaming Togadia!!!
oh, thogadya got wrong information may be 7.5 lakhs were converted to islam
Togadiya you doesnt know that more than 50 lkh non muslims embraced islam in last 8 years.
Whatever tricks they do to reduce Muslims, But, Allah made Islam to supersede all the religions of the earth. Allah is the best planner.
Mr.Togadiya is just following his master's foot step!! nothing new in his statement, Just look @ our honorable prime minister's statement before election and now?? look at our prime ministers statement when he was on foreign tours and when he is in our country!! only these people are fooling us!! don't give much attention for these types of ill mentality what they called leaders!!
Pravin Togadia being JAIN, why he did not convert to Hinduism before converting others to Hinduism?
Is he loosing his mental stability??
Not only Pakistani Hindus, but, they should bring back to India Srilankan Hindus, Bangladeshi Hindus, Nepali Hindus, Mauritius Hindus, Thailand Hindus, American Hindus, European Hindus, African Hindus, Middle Eastern Hindus etc., All the Hindus must come back to Hindustan. So, they will have majority.
its not new thing..........he is not true to himself..as he himself does not belong to HINDUISM. he is a Jain
Common innocent Hindus are fooled time by time.........even in Al jazeera interview Ram madhav told they do follow Hindu culture not Religion
Very very absurd news. Even if it happened, they don't know what is Hinduism and what is Islam, what is Christianity.
Go to Bombay's Maidan where dozens of educated Hindus are accepting Islam in public, without any pressure or greed.
The govt's seems itself shows Hinduism is diminishing and Muslim population is increasing.
Do whatever you want, the God' s real religion will rein for ever,
All man made fake religions will cease.
I THINK THOGADIYA HAD DREAM LAST NIGHT ABOUT THIS ,
PLEASE DONT JOKE TOO MUCH .....
RSS means liars and always lying. foolish people
Fun of the year... will reward him with \FEKU of THE YEAR\"... Jai ho..."
Muslims Worshiping ONE & ONLY GOD ALLAH, The True CREATOR.
ALLAH is the creator of all that exists, Even U Togadia.
Ye Togadia, stop spreading False news, People are not FOOLS to believe what U say.... U are old. Soon people will throw YOU and Your devils will also Forsake U.
Look for the TRUE GOD and ask his Forgiveness...
ALLAH will forgive all Sins if repented sincerely except SHIRK (associating partners with him)
STOP worshiping the CREATION and LOOK for the CREATOR. IF U R HOnest The CREATOR will guide U to know the reality of YOUR Idol Worship...
Muslims will never bow down to idols & shits & urine & monkeys- SiCK people will do such thing...
RESEARCH it if U are intelligent.
I think thogadia is totaly mental, in last 10 years more then 10 lakh Non muslims converted to Islam.
FAKE NEWS AGAIN & ONLY FOOLISH WILL BELIEVE....
togadia pagal, It's totally a fake news.
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