- Elections for the state assembly of Karnataka have been completed. The cabinet was officially formed with the swearing-in of all 34 ministers after a few days of disputes and uncertainty. We all know how the Grand Old Party conducted its election campaign by promising to enact five policies as soon as it took office. The five assurances for the welfare of the people would be approved at the government’s first cabinet meeting, it was grandly announced. Naturally, enforcing those guarantees places a significant financial strain on the exchequer, which forces the revenue authorities to look for measures to offset the loss. The administration seems assured about the challenge.
PC: JYOTHY KARAT
- How the Siddaramaiah-led Karnataka government plans to collect more funds needed to pay for the promised guarantees as soon as possible is a moot question to consider in this situation. The revenue department executives will undoubtedly be having sleepless nights worrying about finding a significant quantity of funding to implement the budget-busting policies. Consider the 200 power units that were promised to every family. It is well acknowledged that the state’s energy commissions struggle to ensure that the allotted or generated cash is used to improve the distribution infrastructure without sacrificing the quality of services. How do the corporations that distribute electricity handle the lack of revenue? No quick fixes.
- Along the same line, if the promised assured system is fully implemented, the free travel for women commuters in all state government-owned transport businesses is bound to leave a substantial revenue imbalance. All of the state-run transport organizations, including the Bangalore Metropolitan Transport Corporation, are losing money. Some businesses have sustained enormous losses. During the epidemic, do you recall how the transport personnel went on strike to demand the release of their salaries? To ensure that the striking transport workers ended their strike, the state government had to intervene by injecting the necessary monies. Where does the funding come from to support the free transit guarantee must once again be questioned.
PC: Express photo
- Understanding the administration’s potential measures to raise the necessary funds to pay for the assurances is not difficult. By the looks of things, those who pay taxes honestly must prepare for an increase in their tax obligations. It is unnecessary to elaborate on the petty concerns of the political elite since they will embrace them without giving a damn about economic responsibility whenever there is a chance to increase their support base. The chief minister and his ministerial colleagues are already assuring the public and the opposition parties that the guarantees will soon be put into effect. Let’s wait for the scams to come to light as law-abiding taxpayers and hope we are not coerced to participate in them.
