Hyderabad drives Telangana revenue growth expectations
HYDERABAD: The state government is banking on higher tax revenues, Central grants, and its own income sources to boost finances in the upcoming financial year. It estimates total revenue receipts at ₹1,81,367 crore, with Goods and Services Tax (GST) forming the largest share.
GST collections are projected at ₹61,564 crore, including ₹9,074 crore from Central GST and ₹52,490 crore from State GST. Revenue from corporation tax is estimated at ₹9,740 crore, supported by industrial growth and new startups.
Sales tax on petrol and diesel is expected to generate ₹18,649 crore.
Mining, services add to revenue mix
Mining and minerals are projected to contribute ₹7,600 crore through granite, limestone, gravel, and sand extraction. The government aims to curb illegal mining and improve royalty collection.
Revenue from interest receipts is estimated at ₹187 crore, while dividends and profits may add ₹185 crore. Social services such as education and sports are expected to generate ₹1,220 crore.
The government expects ₹24,166 crore in grants-in-aid from the Centre. It also plans to raise ₹74,483 crore through market borrowings, with an additional ₹5,500 crore expected as Central loans. Total borrowings are estimated at ₹79,983 crore.
Liquor sales remain major revenue driver
Liquor sales are projected to generate ₹46,941 crore. This includes ₹27,668.48 crore from excise collections and ₹19,273.07 crore from value-added tax (VAT) on liquor.
Additional income of ₹3,500 crore is expected from user charges and licence fees paid by liquor shop owners. Rising consumption is likely to push revenue higher than last year.
Central sales tax is expected to yield ₹175.11 crore, while turnover tax may bring ₹54.65 crore. Collections under the old sales tax regime are estimated at ₹27.32 crore.
Land sales key to non-tax revenue growth
The government has projected non-tax revenue at ₹35,730 crore, with land sales emerging as the largest contributor.
It expects ₹23,000 crore from the sale of government land, assets, and regularisation schemes. High demand for land in and around Hyderabad is expected to support this target.
Revenue of ₹3,500 crore is projected from the sale of open plots and houses. Unsold flats under housing agencies such as Rajiv Swagruha may also be monetised.
The government aims to generate ₹6,500 crore from general land and asset sales, and ₹13,000 crore through land-based resource mobilisation. Funds are also expected from pending regularisation under 58.59 Government Orders and schemes such as Layout Regularisation Scheme (LRS).
Charges from land-use conversion under the Hyderabad Layout and Infrastructure Transformation (HLIT) policy are also expected to contribute significantly.
