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 29,2020

Thiruvananthapuram, May 29: Chief Minister Pinarayi Vijayan said that fishing in Kerala coast and southeast Arabian Sea has been completely banned from Thursday midnight as the state is expected to receive rainfall early next month.

"India Meteorological Department (IMD) has informed that southwest monsoon will arrive in Kerala coast by the first week of June. The state will receive rainfall in the next five days. Fishing in Kerala coast and the southeast Arabian sea to be completely banned from midnight," Vijayan said.

On Thursday, the IMD announced that conditions are favourable in Kerala for the onset of the southwest monsoon on June 1.

"A low-pressure area is likely to form over the southeast and adjoining east-central Arabian Sea from May 31 to June 4, 2020. In view of this, conditions are very likely to become favourable from June 1, 2020 for the onset of southwest monsoon over Kerala," the IMD said in its bulletin.

It also stated that the southwest monsoon has further advanced into some parts of Maldives-Comorin area, some more parts of south Bay of Bengal, remaining parts of Andaman Sea and Andaman and the Nicobar Islands. 

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News Network
April 28,2020

Bengaluru, Apr 28: Karnataka has found that the rapid antibody test kits for COVID-19 that the Centre supplied to the state have only 47% sensitivity. The state will be returning the kits to the Indian Council of Medical Research (ICMR).

Karnataka had received 11,400 rapid antibody test kits from the ICMR a few days back, out of which it had sent around 200 of them to NIMHANS for validation.

After the ICMR, on Monday, sent a circular to all states to return the test kits to the suppliers, Dr CN Manjunath, Director, Jayadeva Institute of Cardiovascular Sciences and Research, and nodal officer for lab testing in the state's COVID-19 task force, said, "We have cancelled the orders we placed to Guangzhou Wondfo Biotech and Zhuhai Livzon Diagnostics for one lakh rapid antibody test kits. Since the ICMR supplied us with 11,400 kits out of the 6.5 lakh kits it procured, we will be returning the kits to them."

Manjunath told said that the validation at NIMHANS revealed the kits to have only 47% sensitivity. Sensitivity is the ability of a test to identify the true-positives in a population, i.e., the actual number of people who've been infected with the disease. With the rapid antibody testing kits being shelved, the state's plan to randomly test high risk groups has taken a backseat. 

So far, the state has tested 43,791 samples. 

Karnataka now has 22 testing facilities -- 14 government and seven private labs. Many private labs have not tested any samples so far because of the lack of test kits (the state has made it clear that it will not provide test kits to private labs). So, getting an ICMR approval for testing has become a moot point.p

Agreeing to the setback the state's plans of ramping up testing has taken, Manjunath said, "It is true that RT-PCR test kits are in shortage. Even Pune's Mylabs had a shortage in supplying test kits. But we are relying on institutes like Kidwai, Narayana Health and Biocon's Syngene that have received approval for testing. They're big institutes and we hope that they will test a large number of samples."

On reports that the Centre has RT-PCR test kits that will last for only a week, he said, "We have test kits that will last for eight to 10 days. We have ordered for more. We are hoping to receive them before the current kits run out."

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News Network
June 22,2020

Bengaluru, Jun 22: Areas having three to four COVID-19 cases being termed as clusters will be totally sealed and maximum testing will be conducted there, moreover only critical cases will be shifted to COVID hospitals in Bengaluru, said Karnataka Home Minister Basavaraj Bommai.

Speaking to media persons, Karnataka Home Minister Basavaraj Bommai said, "It has been decided that clusters (areas having 3-4 #COVID19 cases) will be totally sealed and maximum testing will be done there. Only critical cases will be shifted to Covid hospitals. I demanded that police personnel are tested on priority."

"A lot of issues were discussed about the spike in COVID-19 cases. As far as hospitals are concerned there are two types of patients, asymptomatic and symptomatic, moderate and critical. Moderate and normal cases can be shifted to COVID centres," he added.

Bommai further added that beds in hospitals need to be reserved for corona warriors as well.

"There has to be a coordination between BBPM who brings the patient and the hospital, the moment a positive case is reported to avoid the waiting period. Even in hospitals, some beds have to be reserved for corona warriors. Community transmission is not yet there but we have to be prepared," he added.

Earlier today, Karnataka Chief Minister BS Yediyurappa had called an emergency meeting of concerned officials and departments to discuss measures to control rising COVID19 cases in Bengaluru.

As the numbers of COVID-19 cases are increasing in Bengaluru at an alarming rate, the Chief Minister opined that this can be contained only if preventive measures were implemented strictly.

He directed the officials to implement lockdown strictly in the clusters, which reported more number of cases, especially KR Market and surrounding areas such as Siddapura, VV Puram, Kalasipalya. It was decided to seal the adjoining streets, where the cases are reported.

He said that stringent action would be taken against those who violate quarantine and FIR would be filed if necessary.

Officers were directed to fix rates for treatment of COVID patients in private hospitals to make coronavirus treatment accessible to all.

Yediyurappa further instructed officials to set up fever clinics in all wards and maintain hygiene and provide other basic amenities to the people who were quarantined in social welfare hostels and other government institutions.

"COVID-19 should be contained without affecting the economic activities in Bengaluru, which resumed recently," he said.

"COVID War Room shall have real-time information on the availability of beds in various COVID hospitals and shall facilitate the infected person to avail treatment without losing any time," added Yediyurappa.

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