For a change BJP government now deceives AP

The Central government to withstand the heat of Andhra Pradesh MPs in the upcoming Budget session announced a Special development Package to the truncated state days ahead of the Budget. While the deficit is looming large towards 20000 Crore in this fiscal, Center just allotted 500 Crore that too pending a reported by an inter-ministerial Joint Committee, constituted by Home Ministry.

The Special Status and BundhelKhand type of Package was replaced by a mere 50 Crore per district to the seven districts of Rayalaseema and Uttarandhra making it to an almost nothing 350 Crore in 2014-15.

Coming to the tax incentives, the manufacturing industries set up in the backward region will be given 15 per cent additional depreciation for the first year and 15% investment allowance (in new plant and machinery) in any of the five years. This incentives are no where matched to the Tax Incentives of a Special Status State. Finally the Special development Package will end up very less than an eye wash.

Center again locked the state by announcing that the it is still considering the remaining benefits promised to Andhra Pradesh.

PS: Tax Incentives were also extended to Telangana which gives AP no separate advantage.