dated February 27,1954: Madras Budget

In presenting the first full budget of the new Madras State after the separation of Andhra, Mr. C. Subramaniam, the Finance Minister, stated in the Madras Assembly on February 26 that a deficit of Rs.58 lakhs would be incurred. He estimated the revenue on the existing taxation at Rs.44.6 crores and the total expenditure at Rs.45.18 crores. The Minister stated that out of the deficit, Rs.40 lakhs would be covered by additional taxation. It was intended to leave the balance uncovered. A surcharge on the total land revenue assessment on large holdings, the rate to be calculated on a sliding scale, was proposed by the Minister to meet the deficit. Pattadars with a total assessment below Rs.500 will be exempted.