Bhopal: Madhya Pradesh Finance Minister Raghavji on Friday announced a major relief by reducing the entry tax on domestic LPG while presenting the state's budget for 2013-14. (Agencies)
The state budget proposes to have an expenditure of Rs 91,946 crore in 2013-14. The Minister gave relief to consumers by reducing entry tax on domestic LPG from 6.47 percent to two percent in the election year.
The total expenditure has registered a four-fold increase from 2003-04, when it was Rs 21,647 crore, with a revenue surplus of Rs 5214.83 crore projected for 2013-14.
However, the fiscal deficit for 2013-14 is estimated to be at Rs 12,218.53 crore, which will be 2.98 percent of the GSDP (Gross State Domestic Product), the Minister said in his budget speech, for the 10th year in succession.
Total revenue receipts for 2013-14 are estimated to be Rs 79,603.47 crore while total revenue expenditure is estimated at Rs 74,388.64 crore in 2013-14, which is
10,845.14 crore more than Rs 63,543.50 crore during 2012-13, resulting in a revenue surplus of Rs 5214.83 crore, he said.
The revenue surplus is estimated at 1.27 percent of the GSDP, he said. Giving relief on the tax front, the Minister said that rotavator (for agriculture purpose) and the rent applicable on the electricity meter being provided by the Power Distribution Companies will be free from VAT from April 1, 2006.
Tax rebates were also given on pre-fabricated structure, milking machine, oxygen, naphtha, barbed wire, chin link, emulsified bitumen, toffee, candies, sand crushed stones, among others, totalling Rs 170 crore loss to the exchequer.
However, the Minister filled this gap of Rs 170 crore by imposing tax on paddy, like on the sale of wheat, which will fetch Rs 50 crore and also five percent VAT on the sale of foreign and country made liquor which will fetch Rs 120 crore revenue to the state.
Bhopal: Madhya Pradesh Finance Minister Raghavji on Friday announced a major relief by reducing the entry tax on domestic LPG while presenting the state's budget for 2013-14.