Thiruvananthapuram, Mar 9 (UNI) Kerala Finance Minister Thomas Issac today presented in the state Assembly a Rs 138.44 crore deficit Budget for the year 2007-08, targeting an additional resource mobilisation of Rs 248.69 crore by hiking the taxes for tobacco products, motor vehicles and several other sectors.
In his two-and-a-half-hour Budget speech, Dr Issac also announced tax relief to the tune of Rs 71.56 crore, mainly to agriculture, tourism and traditional industry sectors.
As per the Budget estimate for 2007-08, the revenue receipt was projected at Rs 21,445.76 crore as against the revenue expenditure of Rs 26,696.92 crore, leaving a revenue deficit of Rs 5,251.16 crore.
However, the overal revenue deficit would be Rs 138.44 crore as against Rs 566.97 during 2006-07.
The Minister said once the Centre removed cigaratte, pan masala and tobacco products, other than beedi, from the list of declared goods, the tax on these products would be hiked to 12.5 per cent from the present four per cent, targeting an additional resource mobilisation of Rs 50 crore.
Road Tax for motor vehicles would be hiked to six per cent of the cost of the vehicle at the time of registration with an anticipated additional revenue of Rs 80 crore. Similarly, stamp duty of Rs 100, Rs 250 and Rs 500 for two-wheelers, light motor vehicles and heavy vehicles respectively would be introduced for the resale of vehicles.
Tax on stock market transactions, stamp duty in proportionate to the value of land transactions through power of attorney and new taxes on lottery draw were some of the other new tax proposals.
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In his two-and-a-half-hour Budget speech, Dr Issac also announced tax relief to the tune of Rs 71.56 crore, mainly to agriculture, tourism and traditional industry sectors.
As per the Budget estimate for 2007-08, the revenue receipt was projected at Rs 21,445.76 crore as against the revenue expenditure of Rs 26,696.92 crore, leaving a revenue deficit of Rs 5,251.16 crore.
However, the overal revenue deficit would be Rs 138.44 crore as against Rs 566.97 during 2006-07.
The Minister said once the Centre removed cigaratte, pan masala and tobacco products, other than beedi, from the list of declared goods, the tax on these products would be hiked to 12.5 per cent from the present four per cent, targeting an additional resource mobilisation of Rs 50 crore.
Road Tax for motor vehicles would be hiked to six per cent of the cost of the vehicle at the time of registration with an anticipated additional revenue of Rs 80 crore. Similarly, stamp duty of Rs 100, Rs 250 and Rs 500 for two-wheelers, light motor vehicles and heavy vehicles respectively would be introduced for the resale of vehicles.
Tax on stock market transactions, stamp duty in proportionate to the value of land transactions through power of attorney and new taxes on lottery draw were some of the other new tax proposals.
More UNI
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