Centre duping Karnataka? CM asks Fin Min to explain Rs 798 crore IGST deduction

News Network
December 2, 2023

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Chief Minister Siddaramaiah has shot off a letter to Finance Minister Nirmala Sitharaman expressing concerns and seeking clarification on Rs 798 crore from the Integrated Goods & Services Tax (IGST) being deducted from Karnataka. 

“The information at our disposal indicates that an amount of Rs 798.03 crore has been adjusted out of the IGST settlement as ‘adjustment of advance apportionment to make up shortfall in IGST balance as on 26.12.2022’,” Siddaramaiah stated. 

Siddaramaiah asked Sitharaman to explain the “rationale” behind “huge negative balances of Rs 34,000 crore to accumulate”. He said the accumulation of negative IGST balances would impact treasury management of state finances. 

“In order to facilitate better understanding and transparency, the state of Karnataka seeks information on the total amount of negative IGST balance and the methodology employed for distributing this among the states for recovery,” Siddaramaiah stated. 

Siddaramaiah also asked the union government to make deductions in instalments. “Given the pressing need for resources and the potential challenges associated with lump-sum deductions...we propose a phased approach, preferably in ten instalments, to mitigate the immediate impact on state finances,” he stated. 

“We believe that a transparent and collaborative approach in addressing these concerns will contribute to the effective functioning of the financial ecosystem,” Siddaramaiah stated.

Meanwhile Karnataka GST collection at Rs 11,970 crore finished in second place all India behind Maharashtra. 

Karnataka’s collection was more than Rs 1,000 crore higher than Gujarat, which managed Rs 10,853 crore. 

Tamil Nadu stood at fourth place with Rs 10,255 crore, while Haryana stood a distant fifth with Rs 9,732 crore. UP stood at sixth place with Rs 8,973 crore.

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News Network
July 18,2024

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Mangaluru, July 18: Dozens of passengers had a narrow escape after a fire erupted in the engine of a KSRTC Airavat bus traveling from Bengaluru to Mangaluru at Uppinangady on National Highway 75 on Thursday morning.

The fire was quickly extinguished by the driver and conductor of the bus with the help of local residents.

At around 6:30 am on Thursday, as the bus reached Subrahmanya Curve in Uppinangady, smoke began to fill the interior. Upon stopping the bus, the fire in the engine intensified.

Panchayat staff Isaac and Iqbaal, along with local residents Snake Zakariya, Siddik Koppal, and Joy, rushed to the scene and helped extinguish the fire using water and sand from the riverbank. They had been observing the flood situation in the river from the roadside when they noticed the smoke.

The bus had departed from Bengaluru on Wednesday night at 10:30 pm. Due to traffic congestion in the Shiradi Ghat section, there was a three-hour delay. The fire erupted when the bus finally reached Uppinangady.

The passengers were transferred to another bus, according to Airavat bus conductor Ashok Jadhav.

Traffic movement was affected as the bus was parked on the road after the fire was spotted, causing a one-kilometer-long line of vehicles on both sides of the highway.

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News Network
July 16,2024

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A shooting near a mosque in Oman killed at least four people and wounded several others in a rare act of violence in the Gulf nation.

The attack early on Tuesday took place in Wadi al-Kabir, a district east of the capital city, Muscat, during a major religious event for Shia Muslims.

Video from the scene shows people fleeing near the Imam Ali Mosque, its minaret visible, as gunfire rings out followed by a voice saying, “Oh God!”

Omani police said they’re taking “all necessary security measures and procedures … to handle the situation”. They gave an initial casualty toll of four killed and “several” injured.

“The authorities are continuing to gather evidence and conduct investigations to uncover the circumstances surrounding the incident,” police said on social media platform X.

No motive or potential suspects were identified in the attack. A state of emergency was declared in the area.

‘Remain vigilant’

It appears some of the victims were Pakistani expats as Pakistan’s ambassador “visited three hospitals and met with the wounded”, an embassy statement said, adding, “all Pakistanis residing in Oman are requested to cooperate with the authorities”.

The US Embassy in Muscat issued a security alert following the shooting and cancelled all visa appointments on Tuesday.

“US citizens should remain vigilant, monitor local news, and heed directions of local authorities,” the embassy wrote on X.

Such an attack is rare in Oman, a frequent regional mediator with a low crime rate. It comes during the Muslim day of Ashura when Shia Muslims commemorate the seventh-century battlefield martyrdom of Imam Hussein, grandson of Prophet Muhammad.

Many Shia mark Ashura by performing a pilgrimage to Imam Hussein’s shrine in the Iraqi city of Karbala. Sunni Muslims commemorate the day through fasting. 

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News Network
July 16,2024

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Bengaluru: The Karnataka cabinet on Monday approved implementation of the Seventh Pay Commission’s recommendations, effecting a 27.5% increase in basic pay from August 1, 2024, and benefiting 12 lakh state govt employees and pensioners.

The commission, led by former chief secretary K Sudhakar Rao, was constituted in November 2022 with a six month mandate.

The final report was submitted to chief minister Siddaramaiah before Lok Sabha elections were announced in March 2024.

The commission’s recommendations include raising the minimum salary for govt employees from Rs 17,000 to Rs 27,000 a month.

The implementation is expected to widen the revenue expenditure of the Karnataka govt by Rs 20,000 crore annually. The most considerable expenditure will be the burden of Rs 7,409 crore for salaries, followed by Rs 3,791 crore for pensions and family pensions each year.

The decision comes after the previous BJP govt, just before the 2023 assembly elections, granted interim relief with a 17% salary hike for govt employees, leaving the remaining 10.5% for future discussions.

After Congress govt took office, it faced pressure to fulfil five poll guarantees and delayed the decision.

The employees, during an executive committee meeting held recently in Chikkamagaluru, decided to launch a three-phase protest culminating in an indefinite strike planned from July 29. This appears to have pressured the govt.

"We welcome the decision for providing employees with 27.5% salary hike," said Shadakshari, state president of Karnataka state govt employees' association.

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