Haryana Government today presented its tax free budget for the financial year 2010-2011 with a composite plan outlay of 11,863 crore rupees and a revenue deficit of 3941 crore rupees in the state assembly but proposed surcharge on VAT . Earlier government had raised rate of VAT by one percent before the budget. <br/><br/>Presenting the Budget in the state Assembly, Finance Minister Ajay Singh Yadav said a surcharge on Value Added Tax (VAT) ranging from 0.25 per cent and 0.70 per cent would be imposed on various items to generate additional resources for urban local bodies and village panchayats. He said that the surcharge on VAT would help generate approximately 300 crore rupees in a year.<br/><br/>Capt Yadav said the allocation for the annual sate plan is proposed at 10,500 crore rupees. Besides, an outlay of 1363.58 crore rupees have been made for the centrally sponsored schemes and other development plan schemes.The Budget estimates projected a revenue deficit of 3941.81 crore rupees and a fiscal deficit of 8815.64 crore rupees.<br/><br/>He said an amount of 1073.62 crore rupees have been allocated for agriculture and allied sectors, 1616.49 crore rupees for irrigation sector, 1125.48 crore rupees for health sector, 1142.10 crore rupees for transport sector, 1447.14 crore rupees for urban development, 6377.41 crore rupees for education sector, 4642.71 crore rupees for power, 1297.69 core rupees for Water supply and sanitation sector and 2167.15 crore rupees for social welfare. He said that under the economic stimulus package, an allocation of 713.79 corerupees has been made for various infrastructural works.<br/><br/>In the budget he proposed to increase fleet strength of Haryana Roadways buses to 4500 by the end of 11th plan period and also proposed to set up City Bus Service under Public Private Parternership mode in Gurgaon. He also proposed to invest over 1200 crore rupees on land acquisition and development of industrial infrastructure during the ensuing year.He also proposed to set up a Joint venture company with Govt. of Haryana holding a majority equity share for speedy and effective implementation of metrorail projects.