Admitting that the power outage to industry will have a cascading effect on revenue collection, finance minister Anam Ramanarayana Reddy has said the actual deficit will be known at the end of financial year. The deficit in revenue collection in the first half of the current financial year was Rs 1,072 crore.
Presenting a six-month mid-term appraisal of state finances here on Wednesday, the finance minister, however, presented a rosy picture. The state earned Rs 27,740 crore through taxes, which was 13.34 per cent higher than in the corresponding period in the previous year, he said.
It was estimated in the 2012-13 budget that the state would get Rs 1,08,443 crore. For the first six months, the revenue stood at Rs 43,063 crore. This was 40 per cent of the total budget and it was 8.22 per cent higher than the corresponding period in the previous year.
The major drawback was that the state could not get the projected central grants of Rs 14,948 crore. It received Rs 3,052 crore for the first six months through central grants which was 31.40 per cent less than the corresponding period in the previous year.
“As no elections are held to local bodies, the state could not get the central grants. We have recognised the immediate need to conduct elections to local bodies,” Ramanarayana Reddy said.
Though the state wanted to spend Rs 24,699 crore through capital expenditure, it was able to spend only `7,096 crore so far.