Thiruvananthapuram: The state is the recipient of the largest share of the revenue deficit grant by the 15th Finance Commission over the period from 2020-21 to 2025-26, according to a statement submitted by the state finance department. Meeting.
The data also points to the need for states to observe greater fiscal discipline and increase their non-tax revenue, the eligibility of states to receive this grant and the financial year 2020-21 to 2025-26. By whom was the quantum of grant determined for the period? The 15th Finance Commission is based on the difference between the estimates of revenue and expenditure of the state after considering the devolution computed during this period.
According to the statement of the Finance Minister KN Balagopal An amount of Rs 53,137 crore has been provided as revenue deficit grant to the state on the recommendations of the commission before the assembly, which is the highest among the other 16 receiving states.
The main committed expenditure of the state includes salaries, pensions and interest payments on loans and the revision of salaries and pensions based on the recommendations of the 11th Pay Commission alone has put an additional burden of Rs 15,000 crore on the state annually. Along with this, to bridge the gap of revenue deficit, the revenue production of the state will have to be improved accordingly, that too is not happening.
“Several studies have shown that the state ranks first among states in terms of per capita consumption expenditure, while the state ranks seventh. do collection. There are major gaps with regard to improving non-tax revenue and a lethargic approach in collecting pending tax dues,” said The Economist. mary george,
According to state budget documents, there is a pending tax of Rs 22,188.47 crore, of which Rs 15,122.78 crore is not even under dispute, which means the money can be easily collected.
The state government got Rs 15,323 crore in 2020-21, Rs 19,891 crore in 2021-22 and Rs 4,391.33 crore out of Rs 13,174 crore earmarked for 2022-23. The state will receive Rs 4,749 crore in 2023-24 and no funds under this head in 2024-25 and 2025-26.
The data also points to the need for states to observe greater fiscal discipline and increase their non-tax revenue, the eligibility of states to receive this grant and the financial year 2020-21 to 2025-26. By whom was the quantum of grant determined for the period? The 15th Finance Commission is based on the difference between the estimates of revenue and expenditure of the state after considering the devolution computed during this period.
According to the statement of the Finance Minister KN Balagopal An amount of Rs 53,137 crore has been provided as revenue deficit grant to the state on the recommendations of the commission before the assembly, which is the highest among the other 16 receiving states.
The main committed expenditure of the state includes salaries, pensions and interest payments on loans and the revision of salaries and pensions based on the recommendations of the 11th Pay Commission alone has put an additional burden of Rs 15,000 crore on the state annually. Along with this, to bridge the gap of revenue deficit, the revenue production of the state will have to be improved accordingly, that too is not happening.
“Several studies have shown that the state ranks first among states in terms of per capita consumption expenditure, while the state ranks seventh. do collection. There are major gaps with regard to improving non-tax revenue and a lethargic approach in collecting pending tax dues,” said The Economist. mary george,
According to state budget documents, there is a pending tax of Rs 22,188.47 crore, of which Rs 15,122.78 crore is not even under dispute, which means the money can be easily collected.
The state government got Rs 15,323 crore in 2020-21, Rs 19,891 crore in 2021-22 and Rs 4,391.33 crore out of Rs 13,174 crore earmarked for 2022-23. The state will receive Rs 4,749 crore in 2023-24 and no funds under this head in 2024-25 and 2025-26.