Siddaramaiah presents Budget for 15th time in Karnataka

BENGALURU: Chief Minister Siddaramaiah on Friday presented State budget 2024-25 which was his 15th budget presentation (in various terms) in his political career and in the budget presented the Chief Minister holding Finance ministry, stated that the total expenditure for the financial year is estimated to be Rs 3, 71, 383 crore which includes Revenue expenditure of Rs 2, 90, 531 crore, capital expenditure of Rs 55, 877 crore and loan repayment of 24, 974 crore.

In the budget presentation, Siddaramaiah said that “We have maintained fiscal discipline by restricting fiscal deficit and total outstanding liabilities for 2024-25 within the mandated limits under Karnataka Fiscal Responsibilities Act, 2022.”

The Chief Minister stated that he has ensured fiscal discipline by keeping the fiscal deficit within 3 percent of GSDP and outstanding liabilities within 25 percent of GSDP and exuded confidence to achieve revenue surplus after 2 years as projected in the Medium Term Financial Plan (MTFP).

The total Revenue receipts of Rs 2, 63, 178 crore is estimated for 2024-25 out of which Rs 1, 89, 893 crore is State own tax revenues and Rs 13, 500 crore revenue is from non-tax revenue sources. A total of Rs 44, 485 crore under tax devolution and Rs 15, 300 crore as grant-in-aid is estimated to be received from the Central Government.

In Commercial taxes, he said, the State ranked 2nd in terms of total Goods and Services Tax contribution to the country compared to other States in 2023-24. Till January, a total of Rs 58, 180 crore SGST revenue has been collected and had achieved a growth of 14 percent compared to the corresponding period of the previous year.

The revenue collection target of Rs 1, 10, 000 crore has been fixed to the Commercial Tax Department for 2024-25 while the target for the revenue department for Stamps and Registration Department is fixed at Rs 26,000 crore.

The Chief Minister stated to revise tax slabs for Indian Made Liquor and beer and the revision in tax slabs is to make tax slabs rationalized and also to make them competitive with neighbouring States. In 2023-24, he said, tax revenue of Rs 28, 181 crore has been collected from State Excise and the target set for the Excise department for the year 2024-25 at Rs 38, 525 crore.

Siddaramaiah said the State Government revised tax levied on various categories by amending Karnataka Motor Vehicle Tax Act and till January Rs 9, 333 crore revenue has been collected and achieved a growth of Rs 19 percent. The revenue collection target for the Transport Department has been fixed at Rs 13,000 crore for 2024-25.

In the Mines and Geology Department, the Chief Minister said revenue collection from the Department of Mines and Geology touched Rs 5, 658 crore which is an increase by 22 percent when compared with the revenue collection of the previous year. For 2024-25, he said, the Mines and Geology Department has been set a target of Rs 9,000 crore.