Subhash Chandra Garg- Economy, Finance and Fiscal Policy Strategist

Expenditure Budget and Programme How much does the Central Government spend and on what? What is the size of budget 2019-20 expenditure? Indian constitutional scheme envisages that every rupee of expenditure to be made by the Government is approved by the Parliament. The Appropriation Bill is considered and passed by the Lok Sabha to authorize the Government to withdraw money from the Consolidated Fund of India (where all the revenues and loans taken by the Government are received) for making expenditures which are also considered specifically and voted by means of demand for grants (other than some expenditure which are charged on the Consolidated Fund). The expenditures so authorized are publicly informed as part of the budget papers by means of an Annual Financial Statement (AFS) and Expenditure Budget. Expenditure Budget has three documents- a. Expenditure Profile reports budgeted expenditures in thematic form, b. Expenditure Budget which has Ministry and Departm...

State of the Fisc- Tax Revenues Performance 2019-20 and Policy Agenda CENTRAL GOVERNMENT’S TAX REVENUES BUDGETED TO GROW AT 25.26% IN 2019-20 OVER THE ACTUAL/PROVISIONAL TAX REVENUES OF 2018-19 Tax revenues to the Centre (both direct and indirect taxes together) for FY 2019-20 was estimated at Rs. 16.50 lakh crore (7.82% of projected GDP FY 2019-20). At the time of presentation of final Budget 2019-20 in July, the actual tax receipts of 2018-19 had turned out to be much lower than what was projected during Interim Budget. The tax revenues were estimated to grow, over Revised Estimates of 2018-19 (Rs. 14.84 lakh crore), by 11.13% only as presented during Interim Budget and carried as such in the Final Budget presented in July following the convention and constitutional requirement). However, provisional accounts (close to actuals) tax receipts in 2018-19 came to only Rs. 13.17 lakh crore , a fall of Rs. 1.67 lakh crore or 11.29% less than the Revised Estimates. Compared wi...