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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The life of this world compared to the Hereafter is as if one of you were to put his finger in the ocean and take it out again, then compare the water that remains on his finger to the water that remains in the ocean. Prophet Muhammad sallallahu alaihi wa sallam, Sahih muslim.
Winning the love of makhlook and getting the hatred of the Khaliq in return is a very bad deal. Insha Allah we will live in this duniya for maximum 100-150 years. The we have to face Allah. What will you reply to Allah? You think doing such things will benefit you, give you izzat. Please understand that benefit, loss, izzat, zillat, disease, shifa all are from Allah alone. Keep Allah happy. These makhlooks cannot do anything for you. If you win the whole world and Allah is angry with you then its very bad. If you win Allah and then even if you get nothing in the world, it is the best deal in the world.
Brother Abu Bakar, we want you and all muslims to go to Jannah and avoid jahannum. Please say the kalima once and read tauba namaaz with a sincere niyat of not doing such kind of deeds again.
May allah give 'hidaya' to these so called 'muslims'
Lack of religion knowledge for this Organization, to bring peace and harmony between different community, to win other communities heart just follow our Prophet's way, even look at other great historian traders like Malik al Dinar / great Muslim Scholor like Kwaja Moinuddin Chisty, how they won other communities heart.
Innala Lillaahi Wa Innaa Ilahyi Raajihoon
Well Done Muslim Brothers.. This should be the way to spread message of peace and harmony. Don't follow the people who copycat Arabs thinking they are following true God. Nothing is proven yet. Don't worry keep the good work going.
Inna Lillahi Wainna Ilaihi rajioon. Muslims left the work of dawah to non muslims & indulging in shirk. Whatever Horekanike you have given is totally Haraam and the sad thing is that people who are doing they are expecting good from others but not from Allah. Haji abubakar parkala, Name indicates that he might have done HAJJ. What is the use of Hajj if they do shirk with allah. May allah give us hidayath.
Dear all,
People of this organisation(UDMPSS) neither muslims nor Hindus, they are only pretending, they can't be trusted anywhere!. beware of them.
These foods should distribute to the poor... they will make dua for the committee... THESE FOODS WILL BE THROWN TO THE GARBAGE AFTER 2-3 DAYS..... NOR THEY WILL EAT NOR THEY WILL DISTRIBUTE TO POOR.... USELESS FELLOW
NOW NEXT HINDUS TURN TO SHOW TO PROMOTE HARMONY...
THEY SHOULD DISTRIBUTE COW TO MUSLIMS AT THE TIME OF BAKRI EID.....
This is really a crazy.....not good at all.....common guys there are many poor Muslim children who are suffering from malnutrition....go and distribute this food items to them....instead of this chaddi worthless creature....this is really a tragedy...
The committee should also know that Swamy was all alone went to Ayodhya from Udupi to demolish Babri Masjid. Which was the main reason behind the communal riots and communalism started in throughout India till today.
Now some Swamy's personal benefited chelas are doing in the name of muslims. Shame on you.
We muslims should keep good relations and harmony with other communities by providing food, shelter, cloths , medical aids to the poor daliths, hindus and Christians but not to give the billionaire Swamy who is always against other communities including daliths.
Next time you can do kola and parba too...
Innaa Lillaahi Wa Innaa Ilaihi Raajiwoon
NAUZUBILLAH
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