Karnataka fears massive revenue loss after currency chaos

November 16, 2016

Bengaluru, Nov 16: The Centre's move to demonetize high value currency notes threatens to derail Karnataka's revenue collection this financial year. Officials fear that the state might miss its revenue target by at least Rs 5,000-Rs 15,000 crore for the current fiscal. The move has already affected liquor sales, property transactions, and sale of new and used vehicles.

Untitled-1"We are still assessing the impact and will get a clear picture by the weekend. We are certainly expecting some impact,'' said ISN Prasad, additional chief secretary, state finance department. "The government's revenues have taken a severe beating following the demonetization move. Whatever taxes were supposed to come to the state, including commercial taxes, sales taxes and all the revenues have been hampered. It will certainly have a huge impact on this fiscal's tax collection," said another finance department official.

The government's excise department has been the worst hit. The sale of foreign liquor has come down drastically in the past few days. A senior excise department official said: "Most of the excise revenue come from the sale of Indian Manufactured Foreign Liquor. Officials at government outlets have claimed that the sale has gone down by at least 50%."

The government had fixed an ambitious revenue target of Rs 16,510 crore for the excise department this year following a 25% hike in taxes on liquor. The government has collected only about Rs 7,500 crore so far. "People have stopped buying liquor, especially the expensive ones, due to shortage of high-value currency," added the official.

The revenue target for the stamps and registration department had been fixed at a higher Rs 9,100 crore for the current fiscal. Most of this amount comes from revenue layouts through stamp duty and property registration, which has completely stopped since November 8. "Bengaluru is a big market for secondary real estate, which traditionally works on 60:40 white and black money ratio. Ban on transaction of black money has badly hit property registration," said a senior official of the stamps and registration department.

Comments

Althaf
 - 
Wednesday, 16 Nov 2016

Not only in karnataka All over india it will effect.

Skazi
 - 
Wednesday, 16 Nov 2016

let the Govt reduce the Value of lands for registration purposes... then the govt will get back the revenues.... as the buyers will come forward in the real estate business .....
The govt does not apply its mind while fixing the land values ... It goes by survey no.... whether the site has road connection or not,, the govt value is same for all sites ....

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News Network
May 30,2020

Madikeri, May 30: Environmentalists have opposed the Karnataka Forest Department and the Public Works Department’s move to erect concrete pillars and marking of trees to construct a proposed road from Patti to Todikana within the Talacauvery Wildlife Sanctuary near Talacauvery in Kodagu District.

They have urged for immediate stopping of road works in a protected area.

In a letter to Conservator of Forests, Mysuru Circle, T Heeralal and DCF (Territorial and In-charge Wildlife) S Prabhakaran, the Trustees of Wildlife First K M Chinnappa and A A Poovaiah have termed the road works illegal and violates Supreme Court order on National Parks and Wildlife Sanctuaries.

The letter’s copy has also been sent to Principal Chief Conservator of Forests (Head of Forest Force), and Kodagu Deputy Commissioner urging them to halt the progress of the road works. “Patti and Todikana are at the core of the Talacauvery Wildlife Sanctuary and such unilateral activities without complete approval on completion of the statutorily mandated procedure (both under Forest Conservation Act and Wild Life Protection Act),” the letter stated.

The letter added that they would be forced to move the Courts and the officers who have given approval to the project would face legal consequences.

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News Network
April 10,2020

Kasaragod, Apr 10: Eleven people died so far in Kerala's northern district Kasargod as they could not access medical facilities in Mangaloru since the border roads were blocked by the Karnataka Government, Kerala Chief Minister Pinarayi Vijayan said.

Addressing a press conference at the Government Secretariat here, the Chief Minister said, "It is really unfortunate that people from Kasargod district in Kerala are still being denied treatment in hospitals at Mangalore in Karnataka State."

"We will improve the medical facilities in Kasargod and if necessary, patients will be airlifted to the neighbouring districts in Kerala to provide emergency medical assistance," he added.

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News Network
March 11,2020

Mar 11: The Karnataka government on Wednesday started a campaign called 'Namaste over Handshake' that encourages people to greet in the traditional Indian style, to tackle the spread of coronavirus.

The campaign also includes health advice on how people can protect themselves from the infection by adopting hygiene practices such as regularly washing hands to prevent the spread of COVID-19.

As part of the campaign, the state health and family welfare department has uploaded a poster on the social media, featuring a 'Bharatnatyam' dancer draped in a red saree saying 'Namaste'.

"Use Namasthe to greet others, fight against corona" read a message on the poster online.

The poster has health helpline numbers (104 and 011- 23978046) for public queries on the viral disease, which has claimed 4,251 lives worldwide.

A health department official told PTI that as part of the campaign, posters have been uploaded on social media and it would be printed and despatched to different districts to be put up at important junctions.

"We had been working on this idea. Kerala has already done it. They are using Kathakali dancers whereas we are using a Bharatanatyam dancer as our model," the official said.

Medical Education Minister K Sudhakar too had insisted that people should adopt 'Namasthe' or 'Namaskara' to greet people instead of handshakes or hugs.

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