Hyderabad: Shifting of AP Secretariat and HoDs’ offices in Hyderabad to Amaravati by June/July as being planned by AP government is likely to have financial implications on the TS government.
The AP government pays nearly Rs 1,200 crore per month towards salaries for its staff in Hyderabad, most of which is spent here and which adds to the GSDP.
Shifting of AP Pay and Accounts office alone will result in the GHMC losing Rs 4 crore professional tax per year. At one time, even TS Chief Minister K. Chandrasekhar Rao had said that it would be better if AP offices and employees continue to work from Hyderabad for some more time since the TS government was earning sizeable revenues through them.
Mr Rao had made those remarks when TS employees associations complained that the AP government was deliberately delaying shifting its administration from Hyderabad to Amaravati.
Since then, there has been a demand from APNGOs Association to shift AP administration to Amaravati as early as possible.
“We have been demanding shifting of AP Pay and Accounts office from Hyderabad for the last one year but no action has been taken. This office deals with all types of payments, especially salaries to staff and pays various taxes to the TS government and GHMC. It has been paying Rs 4 crore as professional tax of AP employees to GHMC alone every year,” said P. Ashok Babu, president, APNGOs Association.
He said that AP is already suffering revenue deficit and it cannot afford to lose its own revenues to TS at this stage and the delay was only benefitting TS.
“Over 11,000 AP staff are spending their salaries in Hyderabad every month. While the salary bill of AP employees in Hyderabad is nearly Rs 1,200 crore per month, a major part of this amount is being spent in Hyderabad, due to which the TS government is earning revenues in the form of various taxes,” Mr Ashok Babu added.
