Presenting his first budget, he said: âThe lack of adequate data on beneficiaries is the fundamental limitation of our government’s ability to effectively implement social protection regimes in order to improve social and economic justice.
âAn interdepartmental initiative to link all available government data sources to better understand the true economic status of all citizens and households will be undertaken. This fundamental effort will help improve the delivery of tens of thousands of crore in grants, âhe added.
Emphasizing that what cannot be measured cannot be improved, Rajan said the government will implement smart meters for all utilities in the state.
As part of data-centric governance, he said e-procurement will be mandatory adopted by all procuring entities. A separate online procurement portal will be created for the state government to improve transparency in procurement.
The whole workflow process of all engineering departments including the updated standard data book and pricing schedule, planning and design, quotation preparation, tendering, work measurement, invoice payment and completion recording will be fully enabled electronically to increase efficiency and transparency.
With over 2.05 lakh hectares of state government land, an advanced government land management system, which will contain all the details of all government land, will be created to improve the management of public land. . This will prevent state assets from being used ineffective, abusive or even underhanded, Rajan said.
According to him, a litigation risk management system will be put in place that will monitor all high-risk disputes related to taxation, land matters, personnel matters and procurement matters to ensure that the interest public is effectively protected and resources flow back to government without delay. .
âThe litigation management system will be overseen by an experienced team of retired judges and seasoned legal experts,â he said.
Rajan also said that several data points indicate that government funds are often transferred to accounts beyond the sight of the treasury system.
âUpon taking office, this government launched a two-track investigation to identify these funds – through government departments and agencies and through banks with such accounts. The initial assessment reveals substantial unused funds, âhe said.
The government will establish a special task force under the leadership of a senior finance ministry official to fully reconcile the accounts and identify funds that have expired and can still be used, Rajan said.
He said that all audit departments operating in government will report to the finance department and will be seamlessly integrated to ensure that internal audit functions are effectively performed in all government departments and agencies.
TN to establish advisory board to oversee federal budget model
Tamil Nadu’s Finance Minister Palanivel Thiaga Rajan said on Friday that the state government would set up an advisory council of tax law and revenue experts to develop a “federal tax model”.
Presenting the budget for 2021-2022 – the first of the DMK government, Rajan, highlighting the inequalities in income sharing between the Center and the states, said: âTo deal with these issues comprehensively and come up with a new and comprehensive approach, this government will establish an advisory council to develop a federal tax model with renowned experts in income and tax legislation (including the GST). ”
He said the dilution in the spirit of federalism is most apparent in the taxation of gasoline and diesel at the pump.
“The Union’s overall levies on petrol have increased from Rs 10.39 per liter in May 2014 to Rs 32.90 per liter today. Likewise, the levies on diesel have increased from Rs 3.57 in May 2014 at Rs 31.80 today, “he said.
On the other hand, the Center reduced the basic excise tax and, as a result, in 2020-2021 the Union government revenue from petrol and diesel increased by 63% compared to 2019-20 revenue, but the state’s share fell sharply.
“It is therefore incumbent on the Union government to provide relief to end consumers of petrol and diesel,” he added.
Rajan also said that the Comptroller and Auditor General of India (CAG) pointed out that Union government taxes levied for a specific purpose have not been fully utilized for their intended purpose, and that the surcharges provided for a limited time continued almost indefinitely.