Chennai: State finance minister Marie Wilson said on Wednesday that the previous DMK govt made an unrealistic projection of state’s own tax revenue (SOTR) in the interim budget presented by then finance minister Thangam Thennarasu in Feb this year. Thangam Thennarasu responded that they were ‘ambitious estimates’, not unrealistic projections.In his reply to the debate on the state budget he presented in the current assembly session, Wilson said, “In the revised estimate of 2025-26, the SOTR was ₹1.92 lakh crore but in the interim budget it was hiked to ₹2.29 lakh crore, accounting for a 19% jump.”Wilson said the increased projection by DMK was unrealistic because in the previous financial years, the SOTR growth was less than 8%. “We (TVK govt) have fixed the SOTR revenue at 11.7%, which reflects a moderate growth,” he said. Wilson said TVK govt estimated the SOTR to be ₹2.26 lakh crore.Thangam Thennarasu responded that DMK’s 19% estimation was due to anticipation of GST funds. “There was dip in SOTR in the previous years due to GST rationalisation and decreasing tax rate. But this year, we expected that more funds from the GST taxes. Hence, it was not unrealistic, but you can call it ambitious,” he said.Responding to queries on an increase in revenue expenditure, Wilson said the state govt had allocated ₹12,643 crore to implement VB-G RAM G scheme, ₹5,000 crore for Tamil Nadu Power Distribution Corporation Ltd (TNPDCL) loss funding, ₹5,932 crore for farm loan waiver, and ₹1,545 crore for providing 200 units of free electricity. Because of these allocations, ₹18,000 crore was allocated for subsidies, the minister added.Earlier, while responding to the debate, Wilson said the state treasury received ₹15,000 crore within three months of chief minister C Joseph Vijay forming the govt. But when Thangam Thennarasu questioned the source of the income, the minister just said that funds have started flowing in.
