Naga Govt presents deficit budget of Rs2,358.81cr

Nagaland Chief Minister Neiphiu Rio, who is also the state finance minister, presented the State Budget 2020-2021 with an estimate to close with a deficit of Rs. 2358.81 crore on the floor of the state assembly on Thursday.

Presenting the budget during the ongoing 5th Session of the 13th Nagaland Legislative Assembly, Rio highlighted the achievements and initiatives taken by the People’s Democratic Alliance (PDA) Government during his speech. The total Receipt Budget for the year 202021 is estimated at Rs. 20826.02 crore while the total Expenditure Budget for 2020-21 has been estimated at Rs. 21049.87 crore.

“The closing deficit of the State is increasing due to reduction in our share of Central Taxes as shown in the Union Budget by Rs. 939.03 crore in the Revised Estimates. Accordingly, the year 2019-20 is estimated to close with a deficit of Rs. 2234.85 crore. The shortfall in collection of taxes by the Central Government will affect all the States and Union Territories since the amount available for distribution to States has reduced,” the budget said.

Duty on petroleum products is being enhanced from 10% for diesel to 14.5% and from 20.38% for petrol and other motor spirit to 25%. The Road Maintenance Cess on petroleum products is being raised from Rs. 1.50 paise per litre to Rs. 2 per litre.

Levy a one-time tax of 3% of the original cost of the vehicle for the first 10 years on heavy machinery and non-transport vehicles and equipments purchased within the State as well as brought into the State for commercial activities. For the next five (5) years the rate of tax shall be reduced to 1.5%. Those declared to be for exclusive personal use and agricultural tractors are exempted. “Old vehicles or machinery of the above category not registered in the State and yet to complete ten (10) years but plying in the State for commercial activities shall be required to pay a one-time tax at the rate of 3% of the original cost of the vehicle after allowing for depreciation. Vehicles of the above category registered in other States but brought into the State for temporary commercial use shall pay Entry Fee at the rate of 1% of the original cost of the vehicle annually,” Rio announced.

Initiative like Youth Resources & Sports Department through a programme called “Career Guidance and Employability Skills Development Program” will be launched.

This program seeks to create career awareness among students and help them to make informed decisions about their future. It will help them to make career choices in line with their interests, abilities and strengths. This program will impact 37 Higher Secondary Schools across 11 districts in the State. It has a targeted job placement of over 70% for the job seekers.

The Indira Gandhi Stadium has been provided with international level facilities such as astro-turf football pitch, high quality floodlights and world-class player facilities. The stadium can now host national and international events.

As a part of the Govt’s initiative to further improve sports infrastructure, astro turf football grounds are to be set up at Chumukedima Police Complex and at Loyem Memorial Ground Tuensang. The Nagaland Olympic Association is formulating a game-plan to promote sports and games as gainful professional careers, and our State is looking forward to host more national and international events in the coming years.