New Delhi: Borrowing and other liabilities constitute largest part every rupee earned by the government in the current financial year while states’ share of taxes and duties will be largest out go.
According to General Budget for 2024-25 presented by the Finance Minister Ms Nirmala Sitharaman, the government gets 27 paise of each rupee from “Borrowings and other Liabilities”. This has come down from 33 paise last year.
The share of Coprorate tax remains same at 17 paise of each rupee earned. While share of income tax from individuals has increase substantially to 19 paise from 16 paise last year.
Besides these, the GST will contribute 18 paise of each rupee earned by the government in the current financial year, according to budget document.
Other avenues of income are 4 paise from custom duties and 5 paise from Union Excise duties.
On the expenses side, the government spends maximum 21 paise of each rupee towards payment of states share of taxes and duties followed by interest payment on borrowing to the tune of 19 paise.
Expenditure of Defence sector remain same at 8 paise of every rupee. Last year also the government had spent same on defence.
Outgo on subsidies has also come down to 6 paise of every rupee earned in the current financial year as against 7 paise in the last fiscal.
Other expenditures include pensions 4 paise, Finance Commission and other transfers are allocated 9 paise of each rupee earned by the government. Centrally sponsored schemes and Central Sector schemes are allocated 8 paise and 16 paise respectively.