Haryana expects higher revenue in 2011-12

Haryana has drawn the roadmap to mobilise higher reciepts from internal resources like VAT (value added tax), excise duty, stamp registration, vehicle registration and passenger and goods tax to raise the revenue receipts.

Talking to the media on the sidelines of the Budget presentation in the state Assembly today, State Finance Minister Ajay Singh Yadav said the state expected to mop up Rs 14,100 crore from VAT, Rs 2,400 crore from excise duty, Rs 2,350 crore from stamp duty, Rs 515 crore from vehicle registration and Rs 425 crore from passenger and goods tax in the year 2011-12. This comes out to be approximately Rs 20,000 crore, said Yadav. Besides this, the state would draw Rs 2,765 crore as share of Central taxes.

According to him, a revision of 20 per cent in VAT collection and about 22 per cent increase in the excise duty collection was expected in the year 2011-12, in the wake of the new excise policy rolled out in February 2011.

He added “Despite the implementation of the recommendations of the Sixth Pay Commission, the impact of financial meltdown and large number of fresh recruitments in the government departments in the last two years, the state is likely to cut down the revenue deficit from Rs 4,458.4 crore in 2010-11 to a projected revenue deficit of Rs 2,660.7 crore in 2011-12 and expect to project a revenue surplus in 2012-13”.

An amount of Rs 8,800 crore was earmarked for the pay revision and hike in dearness allowance in the last financial year, he informed.

He said the fiscal deficit projected for 2011-12 was Rs 8,008.6 crore and was 2.6 per cent of the gross state domestic product. He added, it was within the prescribed limit of 3 per cent by the 13th Finance Commission.

“The strenghthening of the resources mobilisation would help the state to pursue growth with stability.”