Luxury goods taxes likely to increase in Delhi budget
Already reeling under escalating prices of essential commodities, there may be more bad news in store for people in the city with Delhi Government likely to announce a set of measures in the annual budget today to improve its dwindling finances.
Already reeling under escalating prices of essential commodities, there may be more bad news in store for people in the city with Delhi Government likely to announce a set of measures in the annual budget Monday to improve its dwindling finances.
Delhi Finance Minister A K Walia, who will present his seventh consecutive budget, is likely to do a balancing job to augment government's financial resources as well as not to put too much pressure on the common man, officials indicated.
To strengthen its coffers, the government will also have the option of withdrawing the Rs 40 subsidy per cylinder being given to domestic consumers but officials said the possibility is very remote.
Walia is likely to increase taxes on luxury goods such as designer clothes, high-end mobile phones, pens and watches and may even consider increasing road taxes.
The government may also go for slashing subsidy to Delhi Transport Corporation and Delhi Jal Board. The total subsidy bill to both these organisations comes to around Rs 1,500 crore annually. Government also has the option of withdrawing power subsidy completely.
The national capital, hosting the prestigious Commonwealth Games in October, is going through financial difficulties especially after the Centre substantially curtailed its allocation in the Union Budget.