In its Budget for 2016-17, the BJP-led Maharashtra Government on Friday laid emphasis on the drought-hit agriculture sector through an allocation of Rs25,000 crore, even while seeking to mobilise additional revenues through a hike in Value Added Tax (VAT), continuation of the increased tax rate for diesel, petrol, liquor, cigarettes and gold, and motor vehicle tax hikes on two and three wheelers.
Presenting his Budget for 2016-17 that envisaged a revised revenue deficit of Rs9,289 crore for the year ending March 31, 2016, Maharashtra Finance Minister Sudhir Mungantiwar looked optimistic when he said that the revenue for the coming financial year would be Rs3,644 crore. The Budget proposed revenue receipts to the tune of Rs2,20,810 crore for 2016-17 as against the likely expenditure of Rs2,24,454 crore.
Alluding to the severe drought faced by the state for the consecutive year, Mungantiwar said: “In this period of crises, the State Government is determined to extend maximum support to our farmers. As I said earlier, this budget is dedicated to our farmers. Accordingly, an outlay of 25,000 crore has been provided in the budget for agriculture sector and various schemes related to farmers”.