Hyderabad: A row over income-tax payment has broken out between the Reserve Bank of India and the Telangana state government.
The RBI has deducted Rs 1,274 crore from the Telangana state government’s account directly and transferred the amount to the income-tax department towards payment of income-tax of the Andhra Pradesh Beverages Corporation Ltd.
The Telangana government, which has almost became bankrupt with empty coffers on account of this sudden transfer of funds, rushed IT minister K.T. Rama Rao and chief secretary Rajiv Sharma to New Delhi on Saturday.
They met Union finance minister Arun Jaitley and lodged a strong protest against the unilateral decision of the RBI without even issuing notices to the Telangana government. They demanded that the RBI re-credit the amount.
