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How else could the centre have raised Rs 1,300 crore?

  • Paring central salaries and pensions bill, around Rs 40,000 crore now, by just 3.3 per cent.
  • Cutting subsidies by 5 per cent. Subsidies in the 2000-01 budget take Rs 22,800 crore, 5 per cent of which comes to Rs 1,140 crore.
  • Raising disinvestment proceeds, budgeted at Rs 10,000 crore in 2000-01, by a mere 13 per cent.
  • Issuing Gujarat relief bonds, no questions asked on source. That would have been expensive, but the government would have had to pay only in the long term.
  • Imposing a road cess on petrol, diesel and kerosene. The one already on petrol, at Rs 1 per litre, earned Rs 790 crore last year.
  • Announcing a flat Rs 6,500 annual tax on farmers on their total income. Surely, there are 2 million farmers in India to afford it?
  • Increasing taxes on tobacco products by 15 per cent. The government earns Rs 7,700 crore in revenue from such products.
  • Selling a fraction of central government properties all over India, equal to the area of Delhi. At a conservative estimate, the value of land alone comes to Rs 2,500 crore.
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