TN: 101.38 cr deficit budget; tax cuts announced
Chennai, Mar 23: The DMK Government in Tamil Nadu today presented a Rs 101.38 crore deficit budget for the year 2007-08, providing succour to common people by removing Value Added Tax and slashing tax on number of items used by them.
Finance Minister K Anbazhagan presented the budget to the House, projecting a revenue receipts at Rs 44,532.28 crore and the total revenue expenditure at Rs 44,633.66 crore, leaving a revenue deficit of Rs 101.38 crore.
He said the total expenditure of the government including loans and advances in 2007-08 was projected at Rs 7,699.18 crore. This coupled with the revenue deficit, would result in a total fiscal deficit of Rs 7,800.56 crore and the projected fiscal deficit would constitute only 2.84 per cent of the Gross State Domestic Product.
''Taking into account the net public account, the overall deficit will be Rs 3.75 crore. This deficit will be made good by economy in expenditure and better tax administration,'' Mr Anbazhagan said.
Keeping in mind the interests of consumers, traders and manufacturers, the Finance Minister announced tax concessions on number of items used by common people.