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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Dear Sangeeth, If U carefully reading your VEDAS which says God is ONE and there is no image of GOD. U will use your intellect to know Why VEDAS says so... ARE we worshiping lifeless objects? U will come to the conclution that there is only ONE GOD who has no image where VEDAS is speaking the TRUTH. Please Learn more U can also check thequranproject online.
Learn why Vedas mention NA TASYA PRATIMA ASTI - There is no image of God. Y are U worshipping lifeless objects ... She recognized the TRUTH... Now she need to inform her parents to contemplate on the message of VEDAS which says there is only one God and no image of him. Then U will know who needs justice.
I think Hadiya already understood and she is very intelligent to recognize the Cheddi deception of keeping the hindus away from the TRUE GOD.... in Hindu scriptures it is mentioned that there is no image or statue of God. NA TASYA PRATIMA ASTI... I request the NON muslims to ask with the HINDU scholars if there is no image of God in the scriptures why are V worshiping the stones, statues (which are lifeless) ? TRUE GOD ALLAH will guide those who are HONEST in looking for him who is worthy of Worship.
She accepted Islam after developing an interest in that particular religion while studying homeo medicine and living with Muslim roommates. Her marriage was happened later through a matrimonial site. Respecting their parents feeling, every individual has the freedom to accept any religion and also to decide their life partner. There is no element of love jihad as sanghis propagate.
#JusticeForHadiya #StopSaffronTerror
If it is not love jihad and their love is pure, why she got converted. He could tell her to stay in her religion and could have married her. Thier aim is different. not love. Its love jihad.
Have to wait what cheddi people will do next.
Love jihad.. Proper love jihad. Father must get justice. Court should give justice to her father.
Cant blame her father. We will tell secular things untill it happen to us. That father must have had lot of dreams of her marriage. Everything got spoiled, even after that also she got converted. A normal cant accept as being father
Hadiya's father is thinking as cheddi people
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