New Delhi: The Union Budget comes as a deep betrayal to the public and at a time ravaged by covid conditions and economic slowdown, said CPI(M) Politburo in its statement on Monday. The Budget is signature style of Modi government that compounds hardships of the working class to foster corporate interests. The Budget also indicates the government’s hesitation to increase public investment.
The allocation toward next year’s expenditure is nearly the same as for this fiscal year i.e. Rs 34.8 lakh crores. Actual spend would figure still lower. It is so because of result of government’s attitude to wriggle out of its responsibility towards people of the country.
The govt blames higher deficit at 9.5 percent of GDP as fallout of lower revenue income. In reality, the deficit is despite higher revenue in fuel taxes the govt levies from the public. There is a 40 percent slash in share to states and union territories comparing to the revised rates. There is also steep fall in taxes on corporate incomes. The govt said tax rates in fiscal 2021-22 for corporates and individuals would be lower than in pre-covid times. While tax from corporates and taxpayers stood at Rs 6.81 and Rs 6.38 lakh crores respectively in 2020-21, in 2021-22, the corresponding figures will amount to Rs Rs 5.47 and Rs 5.61 crores.
The government claims Rs 34.8 lakh crores in expenditure during current fiscal. However total of expenditure up to Dec 2020 figured to just Rs. 22.8 lakh crores. Though revised accounts show an added amount of Rs 4 lakh crores for expenditure, the figure is arrived at by adding FCI food subsidy to the budget allocation. Incidentally, food subsidies have been slashed by 41 percent as compared to 2021-22.
Also slashed are allocations toward agriculture, education, social welfare, women-child welfare, science and technology, expansion of cities and development of differently abled section. Budget share for the health sector figures at Rs 74,600 crores - a neat reduction of Rs 8000 crore compared to revised rates. And, selling of national assets is sole solution the government has in mind to tackle crisis situation, said PB.
