ISLAMABAD (APP) - Federal Minister for Kashmir Affairs and Gilgit Baltistan Mian Manzoor Wattoo presented the AJ&K Councils Budget estimates of Rs 8352.234m for the year 2011-12 and revised estimates of Rs 8632.065m for the year 2010-11. Receipt target of Rs 6192m was proposed for third budget of AJ&K Council for 2011-12 in which proposed estimated expenditure is Rs 8352.234m. The receipt target includes Rs 6000 million as income tax collection. Development expenditure is estimated at Rs 2200 million inspite of acute financial crunch. The operational expenses are proposed at Rs 970 million. This expenditure is 12 per cent higher than that of the last years non-development expenditure despite substantial increase in pay and allowances proposed to be allowed on the analogy of the Government of Pakistan. The 80 per cent net share of income tax collection is proposed to be Rs 4635.985 million. For 2011-12, we are proposing the receipts target of Rs 6192 million, whereas the proposed estimated expenditure is Rs 8352.234 million. Thus, there is a shortfall of Rs 2160.234 million, Wattoo said in his budget speech. He said AJ&K Councils major source of revenue is Income Tax collection. The net receipts are distributed between the Government of AJ&K and AJ&K Council in the ratio of 80:20. The 80 per cent share of net collection of Income Tax is released to the AJ&K Government on monthly basis through the budget of AJ&K Council. The balance 20pc kept by AJ&K Council. Wattoo said financial incentives and relief given to the employees of the Govt of Pakistan are allowed to the employees of AJ&K Council. The Govt of Pakistan has revised the Pay Scales and Allowances of its employees w.e.f. 1st July, 2011. We also propose to adopt the same for the employees of AJ&K Council. We also propose to adopt the Secretariat Allowance/Personal Allowance and one Special increment allowed by the Azad Kashmir Government to its employees in the same manner and to the same extent. He said AJ&K Council Secretariat launched a merit based scholarships/stipends programme for 250 J&K State Subject students studying in various Universities / Institutions of Pakistan/AJ&K @ Rs 10,000 per annum. The programme has been lauded by the students, however, they desired the amount of stipend may be enhanced. Accordingly, we are raising the quantum of stipend to Rs 15,000 per annum. The President of AJ&K as well as Elected Members identified/sponsored 1507 development schemes costing Rs 466 million for the Sectors such as Rural Development, Sewerage, Community Uplift, Health, Education, Potable Water and Link Roads / Bridges etc. in the previous budget. Besides, some major development initiatives taken during 2010-11 are completion of 100 kilometer roads and bridges and the automation of Income Tax-cum-Excise and Taxation Department of AJ&K Council costing Rs 105.307 million. In all 44 developments schemes costing Rs 547.233m have been completed. The executing agencies have thus utilised an amount of Rs 2145 million during the year 2010-11 which is 98 per cent of the total development outlay of Rs 2200 million. The AJ&K Council Secretariat is currently executing Road Sector Projects costing Rs 5331 million and Office buildings costing Rs 1477m. The roads being constructed are main Highways connecting AJ&K with Pakistan. For the year 2010-11, Wattoo said AJ&K Council set the revenue target of Rs 5796.853 million out of which the income tax target was Rs 5500 million. An amount of Rs 6056.313 million has been collected due to the professional and concerted efforts of the taxation officers of Income Tax Department and AJ&K Council Board of Revenue. The AJ&K Council also approved the projected expenditure of Rs 9007.201 million for the year 2010-11.