As we know, the civic authority of the city is facing a financial crisis and amid this difficult situation has got some relief in the form of GST grant. The grant has been increased to Rs.100.05 crore from Rs.83.50 crore. At the same time, the cuts made in the grant in April and May have also been compensated by the state government. It will certainly help to overcome financial crisis to some level. NMC was getting Rs.93.5 crore as GST grant every month.
Till March, the entire amount of the grant was deposited, due to the pandemic outbreak; the economic condition of the state government is also not in a good condition. As a result, in April and May, NMC received only 50 crore each as GST grant. An amount of Rs.43.5 crore each outstanding for the respective month was also deposited in the NMC’s account in a phased manner. NMC’s GST grant has increased by 7 crore to Rs.100.05 crore since June. Since that month, NMC has started receiving full grants regularly. NMC has the expenditure of Rs.1155 crore to Rs.120 crore per month. NMC earns from property tax, water tax, town planning tax, market tax and others. After the GST grant the financial crisis of the civic administration will improve little bit however, the civic administration has to find other measures to solve other liabilities.
