February 25, 2011 1:53 PM

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Gujarat budget 2011-12 shows estimated surplus of 49.69 crore rupees

In Gujarat, the Finance Minister Mr. Vajubhai Vala today presented the Budget for the year 2011-2012 showing estimated surplus of 49.69 crore rupees.Presenting the budget for the record 17th time in the State Assemlbly, Mr. Vala proposed additional revenue of 524 crore rupees from increasing VAT on Tobacco products and Mobile phones and green cess on electricity production.AIR Correspondent Yogesh Pandya reports from Gandhinagar that Finance Minister Mr.Vala proposed to increase VAT on Tobacco and its products from current 20 percent to 25 percent. While tax on Mobile phone also increased from current 5 percent to 15 percent.Finance Minister Mr. Vala also proposed the green cess at the rate of 2 paise per Unit on electricity production except on green energy.Income from the green cess will be used to set up Green Energy Fund in the State. The annual plan of the state has been increased from 30 thousand crore to Rs.37 thousand crore, in which maximum 40 percent allocation has been made for social services.

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