Latest Expert Exchange Queries
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
Popular Search: VAT RATES :: articles on VAT and GST in India :: TDS :: TAX RATES - GOODS TAXABLE @ 4% :: form 3cd :: VAT Audit :: empanelment :: Central Excise rule to resale the machines to a new company :: ACCOUNTING STANDARD :: list of goods taxed at 4% :: cpt :: ARTICLES ON INPUT TAX CREDIT IN VAT :: due date for vat payment :: ACCOUNTING STANDARDS :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes
Budget Extravaganza »
 Government should reinstate wealth tax in Budget 2017
 With demonetisation inducing tax compliance will PM Modi cut tax rates in Budget 2017?
 State plan budget utilisation in Odisha
 Maharashtra wants budget advanced to February
 Coastal economic zones may get 10-year tax exemption in next Budget
 Why advancing the Union Budget date may not make much difference
 Govt keen 2017-18 budget should not clash with polls: Arun Jaitley
 Finance Ministry seeks industry suggestions on taxation for Budget
 Budget should focus on fiscal firm up
 Finance ministry keen to present Budget on February 2 or earlier
 Poor railway performance may mar merged Budget

FM to keep new expenses outgo within budgeted fiscal deficit
August, 03rd 2011

Seeking to make a strong statement about the government's resolve to stay within the budgeted fiscal deficit, Finance Minister Pranab Mukherjee presented a modest first supplementary for the 2011-12 fiscal.

The government on Tuesday sought Parliament's sanction for an additional 34,724 crore expenditure for 2011-12, but the net outgo was much lower at 9,000 crore.

"I will keep my borrowing within limit," Mukherjee said.

The government has budgeted a net borrowing of 3.43 lakh crore in the current year, representing a fiscal deficit of 4.6% of GDP.

The government has to take legislative approval for spending amounts beyond what it estimates during the budget for the year or adjustments in expenditure between different heads by presenting a supplementary demand to Parliament.

Nearly 26,000 crore of the supplementary demands are 'technical demands' or those seeking Parliament's sanction for use of savings under a different head.

The finance ministry had sent out a strong missive to the ministries and departments, asking them to seek extra funds only for unavoidable expenditure.

"Proposals involving net cash outgo of 9016.06 crore will not have any adverse impact on fiscal deficit projected in the budget estimate of 2011-2012, as there would be overall savings in other grants," the government said in its documents proposing extra expenditure.

The C Rangarajan-headed Prime Minister's Economic Advisory Council on Monday said the government should ensure that it stays within the budgeted fiscal deficit of 4.6% for the current so that demand pressure are contained, but warned that it may not be an easy task.

There is a general consensus that the government will overshoot fiscal deficit sharply in the current year because of higher-than-budgeted subsidy. The Food Corporation of India has demanded an extra 35,000 crore while the government has exhausted the petroleum subsidy provided in the budget.

Any extra borrowings by the government will put pressure on interest rates and also deny credit to industry when the recovery sets in.

The additional grants include 2,300 crore for the BPL survey, 2,375 crore to meet the enhanced allocation to Member of Parliament Local Area Development Scheme, 1,500 crore for increased allowance to anganwadi workers, and 435 crore to Air India for maintenance of aircraft used for VVIP travel.

Home | About Us | Terms and Conditions | Contact Us
Copyright 2016 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Organic SEO Outsourcing Organic Search Engine Optimization Outsourcing Organic Website SEO Organic SEO India Website SEO India Organic Search Engine Optimization India Organic Internet SEO India Organic Web

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions