Amid inflation due to the pandemic, the Delhi Deputy Chief Minister Manish Sisodia has requested the Centre to increase the national capital’s share in the central tax.
Presently, Delhi is receiving only Rs 325 crore for the last 21 years and Sisodia said it is unfair to the Union Territory.
“It is necessary that the Central government must increase it,” said Sisodia during the annual meeting of Chief Ministers with the Union Finance Minister Nirmala Sitharaman for the Union Budget 2022-2023 held on Thursday.
In 2000-01, Central’s assistance to the capital was Rs 370 crore which was raised to only Rs 626 crore in 2020-21. However, the expenditure of Delhi has increased more than nine times from 7,200 crores in 2000-01 to 69,000 crore in 2021-22, he added.
According to the Deputy CM, “Delhi government has incurred expenditure on various Covid-related urgent and emergent activities which is still continuing.”
Thus, the UT needs an increase in Central assistance now in view of the prevailing Covid-19 pandemic, said Sisodia adding, “We have requested to the Ministry of Home Affairs to allocate 1,925 crores in revised estimates (RE) 2021-22 and Rs 2,020 crore in 2022-23.”
Sisodia further stated that the Per capita income of Delhi is Rs 3,54,004 at current prices which is about three times higher than the national average of 1,28,829 for 2020-21.
“Delhi’s contribution to the country’s GDP is 4.4 percent, despite the fact that Delhiites constitute only 1.49 percent of the total population of the country.”
In addition, Sisodia also demanded that the Centre should establish a Sainik school in the capital so that children can get a quality education.
Underlining the importance of an increase in allocation of funds to the three MCDs Sisodia said, “The national capital is the face of the country but today the MCD is facing acute shortage of funds and are not able to maintain the cleanliness and development in the capital. Therefore, funds should be provided to the MCDs like other states.”
Seeking Goods and Services Tax (GST) for Delhi, the Dy CM added, “In the pre-GST scheme, every state used to take big or small decisions regarding tax, budget or revenue according to their challenges. Now, these decisions are taken collectively.”
“Due to Covid-19, business came to a standstill. In Delhi, due to pollution also we have to face the lockdown. So in view of all this, if GST compensation is not carried forward, then it will definitely be difficult for all the states to run the governments,” added Sisodia.