Main Features of budgets of Jammu & Kashmir

<–2/”>a >Main Features of Budget

This budget moves from the conventional Public Administrative BUDGETING to a cutting edge Public Management Approach. The structure of the budget has been given a developmental rather than a purely administrative orientation. The new approach“Budget Estimation, Allocation and Monitoring System” (BEAMS), online computerized system to distribute the budget and to authorize expenditure. The Treasury System to be replaced by a functionally aligned Pay and Accounts Office (PAO) System. Budget control mechanism of audit and invoice checking strengthened at the department level. Integrated Financial Management System (IFMS) for online bill processing.

1) Plain speaking on wasteful government

J & K, along with Bihar, Himachal Pradesh and Delhi, spends more Money on revenue expenditure—which includes salaries, pensions, interest payments and other money that the government spends on itself—than on capital expenditure to build assets and other Infrastructure-2/”>INFRASTRUCTURE for the people, according to a state-budget analysis by the Reserve Bank of India.

The financial year 2011-12 was a year of high capital spending for all the three states. However, in the following years, 2012-13 and 2013-14, it is clear that revenue expenditure is far higher than capital spending in the three states as well as Delhi. This means governments that spend more on themselves than on the people they govern.

2) Simple accounting: income & expenditure

It’s very easy to understand where the money is coming from and where it will go. Gone are those bewildering terminologies beloved of Indian financial babudom, such as plan, non-plan, capital, revenue and non-revenue.

Starting from the last fiscal year, 2015-16, the budget will have only two parts: receipts and expenditure.

The expenditure budget will, in turn, have only revenue and capital expenditure estimates. The entire old Classification of the plan and non- plan has been removed. This is a major change which has far reaching implications on the allocation, efficiency and monitoring of public expenditure. This change will demystify the budget to a great extent.

Now there will be two categories of expenditure such as, current and capital; the former being what is spent to meet our daily expenses and the latter is what is spent on making assets on the ground. In the years to come, the state can start the mapping of asset creation with money that has been spent.Source: J&K Budget, 2015-16

3) Protecting the vulnerable: small businesses, farmers, Women

The finance minister has balanced fiscal responsibility with subsidies and handouts that could allow vulnerable people in his flood-ravaged province to become self-sufficient.

4)Taxing Services to increase revenue

The finance minister intends to balance dole handouts with new sources of revenue.J&K is the only state in the country that has the power to tax service.

By virtue of the Goods & Services Tax (GST) Act, J&K has the power to tax both goods and services. All other states of India have the power to tax only goods.

The moot point is that J&K is a special Taxation area. According to latest estimates, service sector constitutes 57% of the GSDP (gross state domestic product), its contribution to the state exchequer is next to nil. So far, we have not been able to tap the entire potential of this sector.

So, included under the tax net now are advertising agencies, security services, placement services, salons and Health clubs. This should generate Rs 150 crore.Services make up nearly 60% of India’s gross domestic product, and services are taxed in India based on the negative list regime (not covered under service tax act including services provided by central/state governments and RBI).

5) A budget for the main economic bottleneck—electricity

The finance minister also presented a power budget for J&K, a first for any Indian state, most of which face economic bottlenecks because of electricity shortages.

The power-sector development held the key to fiscal autonomy through 24×7 reliable and affordable power to all domestic, commercial and industrial consumers” and “unleashing of a new era of development.

The state faces a peak deficit of 22%. Electricity demand is 2,657 MW in 2014-15, of which only 2,050 MW is likely to be met.

The budget of Jammu and Kashmir is a document that outlines the state’s financial plans for the coming year. It is prepared by the State Government and is presented to the State Legislature for approval. The budget is a key tool for the state government to achieve its economic and social goals.

The budget of Jammu and Kashmir is divided into two parts: the Revenue Budget and the Capital Budget. The revenue budget is concerned with the state’s income and expenditure for the coming year. The capital budget is concerned with the state’s Investment in infrastructure and other capital projects.

The revenue budget of Jammu and Kashmir is funded by a variety of sources, including taxes, fees, and grants from the central government. The state’s major sources of tax revenue are Income tax, sales tax, and excise duty. The state also receives a significant amount of revenue from fees, such as registration fees and motor vehicle taxes. In addition, the state receives grants from the central government for a variety of purposes, such as Education, health, and Infrastructure Development.

The expenditure budget of Jammu and Kashmir is divided into two categories: Revenue Expenditure and Capital Expenditure. Revenue expenditure is concerned with the state’s day-to-day expenses, such as salaries, pensions, and interest payments. Capital expenditure is concerned with the state’s investment in infrastructure and other capital projects.

The major items of revenue expenditure in Jammu and Kashmir are salaries, pensions, and interest payments. The state’s salary bill is one of the highest in the country. The state also has a large number of pensioners, and the pension bill is a major drain on the state’s finances. The state also has to pay a significant amount of interest on its loans.

The major items of capital expenditure in Jammu and Kashmir are infrastructure development, education, and health. The state has a large infrastructure deficit, and the government is investing heavily in infrastructure development. The state is also investing in education and health, and the government is committed to providing quality education and healthcare to its people.

The budget of Jammu and Kashmir is a complex document, and it is difficult to do Justice to it in a short space. However, I hope that this ARTICLE has given you a basic understanding of the budget and its importance for the state.

In addition to the above, the budget of Jammu and Kashmir also includes the following features:

agriculture: The budget allocates a significant amount of funds for agriculture, which is the backbone of the state’s economy. The funds are used to improve Irrigation facilities, provide subsidies to farmers, and promote agricultural research and development.
Education: The budget allocates a significant amount of funds for education, which is seen as a key to the state’s development. The funds are used to improve infrastructure, provide scholarships, and promote vocational training.
Health: The budget allocates a significant amount of funds for health, which is seen as a basic human right. The funds are used to improve infrastructure, provide medical services, and promote public health initiatives.
Infrastructure: The budget allocates a significant amount of funds for infrastructure, which is seen as essential for the state’s development. The funds are used to improve roads, bridges, power supply, and other infrastructure facilities.
Social welfare: The budget allocates a significant amount of funds for social welfare, which is seen as a way to improve the lives of the poor and the marginalized. The funds are used to provide pensions, scholarships, and other social welfare benefits.
Security: The budget allocates a significant amount of funds for security, which is seen as essential for the state’s peace and stability. The funds are used to improve the state’s security forces and to provide security for the people.
Tourism: The budget allocates a significant amount of funds for tourism, which is seen as a potential source of revenue for the state. The funds are used to improve infrastructure, promote tourism, and attract tourists to the state.
Other sectors: The budget also allocates funds for other sectors, such as Industry, commerce, and rural development. The funds are used to promote these sectors and to improve the lives of the people.

The budget of Jammu and Kashmir is a vital document that outlines the state’s financial plans for the coming year. It is a key tool for the state government to achieve its economic and social goals.

The following are frequently asked questions about the main features of budgets of Jammu & Kashmir:

What is the total budget of Jammu & Kashmir for the financial year 2022-23?

The total budget of Jammu & Kashmir for the financial year 2022-23 is Rs. 1,05,711 crore.

What are the major sectors that have been allocated the highest budget in the financial year 2022-23?

The major sectors that have been allocated the highest budget in the financial year 2022-23 are:

Education: Rs. 25,000 crore
Health: Rs. 15,000 crore
Roads and bridges: Rs. 10,000 crore
Power: Rs. 8,000 crore
Agriculture: Rs. 6,000 crore
What are the major initiatives that have been proposed in the budget for the financial year 2022-23?

The major initiatives that have been proposed in the budget for the financial year 2022-23 are:

Free education for all students up to class 12
Free medical treatment for all citizens
Construction of new roads and bridges
Improvement of power supply
Promotion of agriculture and Horticulture-2/”>Horticulture
What are the challenges that the state government is facing in implementing the budget?

The major challenges that the state government is facing in implementing the budget are:

Low revenue collection
High expenditure
Debt burden
Insecurity
What are the expectations of the people from the budget?

The people of Jammu & Kashmir expect the budget to address the following issues:

Unemployment
POVERTY
Insecurity
Lack of development
Poor infrastructure
What is the impact of the budget on the economy of Jammu & Kashmir?

The budget is expected to have a positive impact on the economy of Jammu & Kashmir by:

Increasing investment
Creating jobs
Promoting Growth
Improving infrastructure

The Jammu and Kashmir budget is a statement of the estimated revenues and expenditures of the state government for the coming financial year. It is prepared by the Finance Department of the state government and is presented to the Legislative Assembly for approval.
The budget is divided into two parts: the revenue budget and the capital budget. The revenue budget shows the estimated revenues of the state government from taxes, fees, and other sources. The capital budget shows the estimated expenditures of the state government on development projects.
The budget is a key tool for the state government to achieve its economic and social objectives. It is used to allocate Resources to different sectors of the economy and to promote economic growth and development.
The budget is also used to provide social services such as education, health, and infrastructure. It is a powerful tool for the state government to improve the lives of its people.

Here are some MCQs on the main features of budgets of Jammu and Kashmir:

Which of the following is not a part of the Jammu and Kashmir budget?
(A) Revenue budget
(B) Capital budget
(C) Social budget
(D) Economic budget
The Jammu and Kashmir budget is prepared by which of the following departments?
(A) Finance Department
(B) Planning Department
(C) Economic Affairs Department
(D) None of the above
The Jammu and Kashmir budget is presented to which of the following for approval?
(A) Legislative Assembly
(B) Legislative Council
(C) President of India
(D) Prime Minister of India
The Jammu and Kashmir budget is a statement of the estimated
(A) Revenues and expenditures of the state government for the coming financial year
(B) Revenues and expenditures of the central government for the coming financial year
(C) Revenues and expenditures of the Local Government for the coming financial year
(D) None of the above
The Jammu and Kashmir budget is divided into two parts:
(A) Revenue budget and capital budget
(B) Social budget and economic budget
(C) Development budget and non-development budget
(D) None of the above
The revenue budget shows the estimated revenues of the state government from
(A) Taxes, fees, and other sources
(B) Loans and grants from the central government
(C) Income from state-owned enterprises
(D) All of the above
The capital budget shows the estimated expenditures of the state government on
(A) Development projects
(B) Repayment of loans
(C) Purchase of assets
(D) All of the above
The budget is a key tool for the state government to achieve its
(A) Economic and social objectives
(B) Political objectives
(C) Administrative objectives
(D) All of the above
The budget is also used to provide
(A) Social services such as education, health, and infrastructure
(B) Economic services such as roads, bridges, and power Plants
(C) Security services such as police and army
(D) All of the above
The budget is a powerful tool for the state government to improve the lives of its people.
(A) True
(B) False