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
February 15,2020

Mangaluru, Feb 15: Dense fog formation and poor visibility at the runway forced to delay and diversions of some flights arriving and take off at the Mangaluru International Airport (MIA) on Saturday.

Flights take off and landings were suspended from 0700 hours am to 1030 hours.

Many flights to land in the morning were diverted.

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June 19,2020

Mangaluru, Jun 19: Mohammad Haneef Guddemane, a cattle trader, who was thrashed by the miscreants of Bajrang Dal while legally transporting cattle last weekend, today appeared before media and demanded appropriate action against the assailants.

The attack took place on June 14 at Urwa in the city when he was transporting four buffalos along with all necessary documents. The attack was also captured on a CCTV camp. 

The victim, who addressed a press conference today, said that it was not the first time he is transporting cattle as into animal and husbandry for years. 

“I had bought 10 she-buffaloes on June 13 from Ranennur and obtained certificate from the local government veterinary doctor after which the animals were brought to my village,” said Haneef, who is a resident of Jokatte on the outskirts of the city. 

He said that he was transporting four out of the ten she buffaloes he had bought to the slaughterhouse at Mangaluru on June 14 when a gang of around 15 members which intercepted his vehicles near Urwa police station dragged him out of the vehicle, rained abusive words at him, made blasphemous remarks about his religion, and hit him with a helmet besides kicking him. 

He said that three of the assailants were armed with sabre, iron rod and wooden sticks. 

"They also tied me to the vehicle and assaulted. They also attacked me with their arms but I escaped. Their plan was to kill me. Fortunately, the police reached the spot and the assailants escaped. However, they thoroughly damaged my vehicle and robbed Rs 7,800 I had with me. I got treated at Highland Hospital in the city," he stated.

Expressing shock over the soft corner approach of the police towards the assailants, he said that only six of around 15 attackers were booked by the police. 

“All the accused were let off by the police after registering petty cases. Ironically, the police had not recorded my statement. On the day of attack, they had asked me to sign on a paper. It contained the complaint written by themselves. Hence, on June 17 I visited the Urwa police station and recorded my statement,” he said.

He said that even though he has all the documents pertaining to the cattle that he had purchased, the police had registered false cattle theft charge against him. 

Former city mayor K Ashraf, Hyder, bother of the victim and Shamsuddin, Jokatte gram panchayat vice president were present at the press meet.

Also Read: Mangaluru: Bajrang Dal men thrash cattle trader after waylaying buffalo-laden vehicle

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News Network
July 2,2020

Bengaluru, July 2: Congress leader and seven-time MLA D K Shivakumar today took charge as the president of the Karnataka Pradesh Congress committee in the presence of senior leaders of the party.

The formal was held at the KPCC office in Bengaluru. The ceremony is said to be a first of its kind in the country as 10 lakh people from the remotest corners of the state — 462 blocks and 6,000 gram panchayats and municipalities across 7,800 locations —witnessed it online.

Dinesh Gundu Rao , MLA, and immediate past president, handed over the party flag to Mr. Shivakumar. Senior leaders Siddaramaiah, Mallikarjun Kharge, and other MLAs and MLCs attended the programme.

AICC general secretary in-charge of Karnataka K C Venugopal spoke on the occasion and lashed out at the Modi government for poor handling of economic and health issues in the country.

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