On one side, Telangana Chief Minister KCR was announced massive development programmes and welfare schemes in the state. Finance Minister Etela Rajender is the worried man how to provide revenue sources for KCR’s promises. Telangana has surplus budget for this year at the time of the division of the state. It seems that for Government would find difficult to maintain the “Surplus” status in near future.
Sales tax and Stamp duty are main revenue sources for any state government in the country. Telangana Government received 600 crores less on Sales tax on Petrol and Diesel. Every year Government received 6000 crores as revenue on Petrol and Diesel. Because of successive reduction of the prices on Petrol and Diesel since last 5 months, Telangana Government lost 600 crores on Petrol and Diesel.
AP Government doing all its registrations in AP for getting revenue instead of Hyderabad. AP Government allowed registrations on Stamps where purchased in AP only and allowed the registrations in AP registrar offices but not in Telangana’s. That affect severely on Telangana revenue in the form of Stamp duty. Telangana Government lost another 50 crores of revenue by exempting Autos from road tax. But Etela is confident that good days are ahead for TG.