E-Paper
Union budget 2023-24: Uttar Pradesh authorities upbeat as state’s share in central taxes goes up
The Uttar Pradesh government will get a sum of ₹1,83,237.59 crore as the state’s share in central taxes in 2023-2024 (an increase of ₹36,739.59 crore to be precise).
The Uttar Pradesh authorities appear enthused over an increase of nearly ₹37,000 crore in the state’s share in central taxes in the Union budget for 2023-2024.
The Uttar Pradesh government will get a sum of ₹1,83,237.59 crore as the state’s share in central taxes in 2023-2024 (an increase of ₹36739.59 crore to be precise).
The state also hopes to get an increase in central allocations for various central schemes, including the special assistance to states for capital investment in view of an increase of 30% in allocations for the scheme in the budget.
“Uttar Pradesh will get nearly ₹37,000 crore more as the state’s share in central taxes in 2023-2024. A sum of about ₹1,46,498 crore was earmarked as the state’s share in 2022-2023. The revised estimates indicate this sum to go up to ₹1,69,745.30 crore. U.P’s share in the central taxes will be about ₹1,83,237.59 crore in the union budget for 2023-2024,” said Uttar Pradesh finance minister Suresh Khanna when asked about the state’s gains in the central budget for 2023-2024.
As per recommendations of the Fifteenth Finance Commission, the states’ share in central taxes has been fixed at 41% and Uttar Pradesh’s share comes to 17%.
Khanna said Uttar Pradesh has been allocated a sum of ₹14,351 crore in 2022-2023 under the special assistance to states for capital investment that the Centre introduced in 2022-2023 to provide 50-year interest free loan for capital investment projects.
“The Uttar Pradesh government has already received ₹7,654.50 crore out of ₹14351 crore earmarked for the state in 2022-2023. The Centre has allocated 30% more funds for the scheme in 2023-2024 and the state is bound to get benefits out of the scheme,” said Khanna.
“Prime Minister Narendra Modi has won the hearts of people by raising the personal income tax rebate limit to ₹7 lakh. An increase of 66% in allocation to Pradhanmantri Avas Yojana, assistance to states for setting up unity mall to boost One District One Product scheme and relief to MSMEs are welcome steps. We are also happy over raising the target for giving agriculture loan, boost to millet cultivation and the efforts to boost natural farming,” Khanna said.
Khanna said the states would be allowed to run a fiscal deficit of 3.5% of the GSDP (Gross State Domestic Product) with 0.5% set aside for power sector reforms. He said Uttar Pradesh has been able to limit its fiscal deficit as well.
