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.
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PUTTIDINA JOKULEG YER NINNA AMME TUPENA
Let us start with Ur Master.
This KKB again started to B--k
Why people cast their valuable vote in favor to this uncultured mannerless creatures. Most of the elected mp's are with same attitude and mind set. For our unite India all should kick them out from country like India.
KKB - KUTTE KA BACCHA.
during partition muslims in India was 36% and part of them migrated , so now decreased to 15%.. hindus in pakistan migrated to India , still migrating , hindu population might have decreased there also....even then minority hindus enjoying reservation in politics , education . etc
Here is one more....these BJP leaders are out of mind. Someone is saying change the religion (Ghar wapsi) and someone is asking to go to pakistan someone wants hindus to show their mardangi. Rubbish ppl with fools followers
good news for modi and baba ramdev......
U start the lead, let followers take your step
Vegans are deficient in many important nutrients like Vit B12, Creatine. Studies shows that Vegetarians have much lower levels of Testosterone than their meat eating counterparts
There was a time when the enemies of mankind spread the LIES of accessive Population is harmful to earth and they spread the fear & introduced \hum do hamare do\". --- We see the results that most of those who never read about \"the revelation of God who gave the life\" have been trapped in this depopulation situation and NOW they are forcing their community to make children... without any financial aid.
ALLAH the creator of all that exists speaks about the life and death of every thing that he created..
one ayat of quran below: (17:31)
Do not kill your children for FEAR of POVERTY. We will provide for them and for YOU. Surely killing them is a great sin...
Those who trusted God never fall trap to such fear....
At that time and even now Many abortion took place to live a worldly enjoyment but in their old age people desired that they had many childrens... which they regret of not having 3 or more children..
Dont forget, India and China with most population are the most fast growing economy today.. Nothing to feel ashamed... only the ruling few will put fear on the people to control their evil agenda.."
have beef consumption .....for population increment
Raj Takre did not oppose our players to play against Pakistan hokey match in KL....HYPOCRISY....
India's population is 1.5 Billion......can India afford another 1.5 billion....to build Ram Temple....these are politicians gimmick to cheat poor innocent voters....very sad....
First eat madam posts and cashews....ha haa.....and ask for strong guns....
Giri babu
How many children U have or How much children U planned? Let the Cheddi members know that ...
It is hard to follow cos most of our leaders are just barking and no action..
our PM needs to reconcile with his partner
Cheddi Bachelors club - needs to search for partners even in old age to reach this target...
We need some leaders with action not blah blah...
If 76% Population is of Hindus, 24% Muslims!!! which is = 100%, then what about christian, Jain, Sikhs, Buddhists & Atheist?????
Mathematical Error Mr. Giriraj Singh.. You don't know simple maths and you are the Union Minister for the State.!!!! STRANGE....
Dikhao yaar. Mardaangi hai to.
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