Bangalore: Karnataka government today
presented the Budget that exceeded Rs 1 lakh crore in value
for the first time and announced the acceptance of pay
commission recommendations bringing cheer to employees.
It also proposed to levy value added tax (VAT) at five
per cent on beedies and plastic woven fabrics and increase VAT
on cigarettes and other tobacco products from 15 per cent to
17 per cent.
Besides, the government has proposed to reduce the stamp
duty from six per cent to five per cent on conveyance/sale
deeds which, the government said, would facilitate the
registering public and would also trigger development in the
construction industry.
"...this budget facilitates a total expenditure of Rs
1,02,742 crore on various development activities and
regulatory functions of the Government, which is an increase
of 20.42 per cent over the Budget of Rs 85,319 crore in
2011-12", Chief Minister D V Sadananda Gowda said in the
Legislative Assembly.
"This is the first time the Budget size has exceeded Rs 1
lakh crore", he pointed out. Revenue surplus is estimated to
be Rs 931 crore. Fiscal deficit is expected to be Rs 15,312
crore, which is 2.94 per cent of the GSDP.
Recommendations of the official pay committee for
government employees would be given effect from April 1, Gowda
said, adding that the existing dearness allowances and
installment due as on January 1 this year would be merged in
the basic pay and pension along with 22.5 per cent increase.
"The total additional outgo on account of the pay and
pension revision is estimated to be Rs 4,450 crore on a full
year basis", said Gowda, who also holds the Finance portfolio,
as he the sought approval for vote on account for the
expenditure during the period up to July 31 this year.
PTI
Karnataka Budget 2012-13
First Published: Wednesday, March 21, 2012, 13:49