Live
- OpenAI signs 1st MoU in South Korea to foster AI ecosystem
- Fire breaks out during rocket test at Japan's space centre
- Nigerian military kills more suspected terrorists in Lake Chad Basin airstrikes
- NABL signs pact for on-site testing of materials in construction projects
- Cantonment MLA Sri Ganesh Advocates for New RTO Office Amid Road Expansion Concerns
- UN humanitarian chief meets Sudan's Al-Burhan to address aid crisis
- Zimbabwean president calls for international support to resolve debt issues
- Judiciary Plays a Key Role in the Indian Constitution - Senior Civil Judge A. Sri Devi
- Karnataka BJP Stands Strong Against Waqf Board Misuse
- Keerthy Suresh in sultry avatar for Bollywood debut ‘Baby John’
Centre's bar on borrowings: Government mulls more taxes to tide over fund crisis
Representational image
The State government under immense pressure to mobilise funds following the restrictions imposed by the Centre on borrowings is now contemplating to levy new taxes in the State, if the deliberations, State Finance Secretary K Ramakrishna Rao is having with the Union Finance Ministry, did not yield positive results.
Hyderabad: The State government under immense pressure to mobilise funds following the restrictions imposed by the Centre on borrowings is now contemplating to levy new taxes in the State, if the deliberations, State Finance Secretary K Ramakrishna Rao is having with the Union Finance Ministry, did not yield positive results.
The revenue generating departments like the Commercial Taxes, Transport, Stamps and Registrations, Mining and Property Tax collecting local bodies – Panchayat Raj institutions and Municipal bodies have been asked to prepare proposals to increase the revenues through various measures which include collection of all pending taxes and increase of taxes.
These departments are now analysing the existing tax structure and the areas where taxes can be increased. The government has recently increased property registration charges, land market values and wine prices. Another round of the moderate increase of registration charges is not ruled out but it would be confined to the costly properties, sources indicate.
The government wants to ensure that the middle class was spared by additional burden because of the new registration charges. "The government is planning to hike registration charges in the fast-growing urban areas under municipal corporations where the property values are fast increasing. The registration charges for agricultural lands in the high cost area is also under consideration," a senior official said.
The State Commercial Tax wing had recently announced onetime settlement of tax arrears and planning to bring more number of traders under the tax net.
The authorities have started a ground-level survey to bring every trader under tax collection category. Many restaurants and cafes in Hyderabad and other parts of the State were evading tax by not including themselves in the commercial trade category.
Even hike in mining is likely. This will however directly affect the purchasers of sand used for construction purposes. The cost of sand was hiked only two months back. More taxes on the purchase of new vehicles is also on the cards. The State, sources said, requires at least Rs 2,000 crore additional funds to meet the financial needs and if the Centre does not permit borrowings, fresh taxes would be the only option, officials said.
