Chennai, Feb 5 (IANS) Tamil Nadu Finance Minister K. Anbazhagan presented a revenue surplus interim budget Saturday for fiscal 2011-12, wiping out the revenue deficit of Rs.3,129 crore expected for the current year. As the state is set to go to polls, no new schemes or levy of taxes were announced.
“The total revenue receipts have been estimated at Rs.79,413 crore and total revenue expenditure has been estimated at Rs.78,974 crore,” Anbazhagan said presenting the budget in the state assembly.
“As a result of this, the revenue deficit will be completely wiped out by the end of the financial year 2011-2012 and there will be a revenue surplus of Rs.439 crore,” he added.
This trend is expected to continue in 2012-2013 and 2013-2014 also in compliance with the fiscal correction path laid down by the Thirteenth Finance Commission and Fiscal Responsibility Act.
Anbazhagan ruled out the possibility of having higher revenue surplus for the next fiscal owing to the payment of the last instalment of Sixth Pay Commission arrears due for payment next fiscal.
He added that the fiscal deficit will be Rs.13,507 crore in 2011-2012, according to the present estimate.
According to the Medium Term Fiscal Plan (MTFP) presented along with the interim budget, many infrastructure projects initiated by this government are almost complete, capital outlay for the coming financial year shows reduction leading to a lower fiscal deficit and fiscal deficit-GSDP (Gross State Domestic Product) ratio is expected to be 2.32 percent.
The share in central taxes for the state has been estimated at Rs.13,375 crore during 2011-2012 based on increased collection of central taxes on the back of improved economic scenario. A growth rate of 15 percent is projected for 2012-2013 and 2013-2014.
The MTFP estimates grants from the central government at Rs.7,445 crore.