Borrowing at 29 paise will account for the largest share of every rupee that

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the government will use for financing the Union Budget 2010-11, while will it spend the most - 21 paise - on central plan.

Reflecting the improved finances, the dependence on debt has come down from 34 paisa in the previous budget to 29 now, as per the proposals presented by Finance Minister Pranab Mukherjee in Parliament today.

On the expenditure side, apart from central plan, interest payment will account for an outgo of 19 paise.

At the same time, defence allocation has also been reduced to 11 paise from 12 paise in the current fiscal.

As the single largest source of revenue income, the collection from corporate tax has been increased to 23 paise against 22 paise in the previous fiscal, indicating improvement in the tax revenue.

Improvement is also seen in indirect tax, including service tax and other heads, as it is expected to contribute 25 paise to every rupee earned in 2010-11 against 22 paise in the current fiscal.

Despite tax incentives given to individuals, direct tax contribution has been retained at 9 paise.

With the improvement in overall economic scenario, the susidy burden on the government would come down to 9 paise against 10 paise for the year ending March 2010.