CIVIL SNIPPETS

Confusion prevails over who will foot migrants’ train fare #GS3 #Economy
Soon after Congress president Sonia Gandhi on Monday asked the party’s State units to bear the cost of
rail travel of migrant workers, the Railways said the “sending States” needed to pay for sending people
home on the ‘Shramik Specials’.

“As per the guidelines issued, the sending State will pay the consolidated fare to [the] Railways. The
sending State may decide to bear this cost or take it from passengers or take it from the receiving
State after mutual consultation or may charge it to any fund. It is purely their prerogative,” a Railway
spokesperson said.

At a regular briefing, Health Ministry spokesman Lav Aggarwal, claimed that though the government
started the ‘Shramik Specials’ at the request of the State governments to help stranded people, the
Centre would bear 85% of the cost and the States the remaining 15%.

The government clarification was seen as damage control coming as it did after the Congress
announcement. The party also cited a May 2 order where a senior Railway Board official said, “The local
State government authority shall hand over the tickets to passengers cleared by them and collect the
ticket fare and hand over the total amount to the Railways.”

Nitish’s gesture

Amid the controversy, Bihar Chief Minister Nitish Kumar chipped in to say that his government would
not only bear the travel costs of the migrant workers, students and tourists but also give each of them
Rs. 500 after their 21-day quarantine period was over.

BJP general secretary B.L. Santoshi, however, said in a tweet, “Let alone charging Railways don’t have
any ticket counters .. Trains are run on state requests. After the request Kerala, Rajasthan, Maharashtra
make #MigrantLabourers pay & @INCIndiaChief issues statement & usual suspects pump it up.”

Earlier, in a statement, Ms. Gandhi called it “disturbing” that the Railways and the Centre were charging
the migrant workers even for distress travel when it could spend nearly Rs. 100 crore on a public
programme in Gujarat, a veiled attack on the ‘Namaste Trump’ programme to welcome U.S. President
Donald Trump.

https://www.thehindu.com/todays-paper/confusion-prevails-over-who-will-foot-migrants-train-
fare/article31506357.ece

Nod for return of stranded Indians #GS2 #IR

The government has decided to allow hundreds of thousands of Indians stranded in different parts of
the world to return home in a “phased manner” beginning May 7, the Ministry of Home Affairs (MHA)
announced on Monday.

In the first phase, “distressed citizens” will be brought back on commercial aircraft and naval ships,
according to a list prepared by the respective embassies, strictly on “payment-basis”, the government
added. The returnees would also have to pay for quarantine and hospital facilities.

Sources told The Hindu that in the first phase from May 7- 14, the government would allow more than
60 “non-scheduled, commercial” flights to operate from about 12 countries to India to bring back 15,000
citizens.

At least half of those flights will be from the Gulf region, including UAE, Qatar, Saudi Arabia, Bahrain,
Kuwait and Oman, while the rest would bring passengers from the U.S., the U.K., Singapore, Malaysia,
Philippines and Bangladesh.

The flights would be spread over 10 States identified as having the largest numbers to return, with
Kerala, Tamil Nadu and Delhi (NCR) receiving the maximum number of flights.

A meeting held at the Ministry of Civil Aviation looked specifically at flights, mainly operated by Air India,
while it awaits a final plan from countries where Indians need to be airlifted from. The first flights
planned at present are from Abu Dhabi, Dubai, Riyadh and Doha, flying directly to Kozhikode and Kochi.

In a tweet, Kerala Finance Minister Thomas Isaac said the State is “hoping to meet the challenge of more
than 5 lakh Keralite migrants returning home”, indicating that the State expects to receive the bulk of
returnees in the next few months.
While the full estimate of Indians needing to return home could cross 10 lakh, with more than two lakhs
having registered to return from the UAE alone, officials said their return would be “prioritised and
staggered”. Much of the migrant population in the Gulf will return aboard Indian naval ships, but
officials say women, particularly pregnant women, will be given first priority on the aircrafts returning.

https://www.thehindu.com/todays-paper/nod-for-return-of-stranded-indians/article31506360.ece

States with high swine flu rate record most COVID-19 cases #GS3 #SNT

Five States — Maharashtra, Gujarat, Rajasthan, Delhi, Tamil Nadu — account for about 70% of India’s
confirmed COVID-19 cases, that on Monday stood at 46, 416.

However, data from the Health Ministry’s National Centre for Disease Control (NCDC), show that these
are also States that consistently accounted for the bulk of swine flu cases, or seasonal influenza (H1N1)
since 2015.

Last year, Rajasthan, Gujarat, Delhi and Maharashtra accounted for 15,580 cases of confirmed H1N1 —
or 54 % of the confirmed infections. In 2018 again, Tamil Nadu, Maharashtra, Rajasthan and Gujarat,
made up 65% of H1N1 cases.

In 2015, which saw 42,592 cases, the largest spike in cases since the swine flu pandemic of 2009-10,
Maharashtra, Rajasthan, Gujarat and Delhi polled 63% of the cases .

Excluding 2016, Maharashtra and Gujarat have either led or been among the top three in India’s swine
flu count.

https://www.thehindu.com/todays-paper/states-with-high-swine-flu-rate-record-most-covid-19-
cases/article31506364.ece
India flays nod for Gilgit-Baltistan polls #GS2 #IR
The External Affairs Ministry issued a “strong protest” on Monday over an order by the Pakistan
Supreme Court allowing the Imran Khan government to hold elections in the region of Gilgit-Baltistan
of Pakistan-occupied Kashmir (PoK).

India said it had issued a demarche to protest what it called Pakistan’s attempt to make “material
changes” to the disputed area, by bringing federal authority to Gilgit-Baltistan (G-B), which has
functioned as a “provincial autonomous region” since 2009.

Centre issues demarche

On April 30, a seven-judge Bench of the Supreme Court in Islamabad, headed by Chief Justice of Pakistan
Justice Gulzar Ahmed, had allowed the government to organise general elections in G-B, and to set up a
caretaker government there before that. As a result of the coronavirus lockdown, the demarche was
issued via email to the Minister (Political) in Pakistan’s High Commission in Delhi.

“The Government of Pakistan or its judiciary has no locus standi on territories illegally and forcibly
occupied by it. India completely rejects such actions and continued attempts to bring material changes
in Pakistan-occupied areas of the Indian territory of Jammu & Kashmir. Instead, Pakistan should
immediately vacate all areas under its illegal occupation,” the Ministry spokesperson said in a
statement.

Pakistan’s Ministry of Foreign Affairs (MoFA) responded to the demarche by referring to the
government’s decision in August last year to amend Article 370 as “illegal and in clear violation of UNSC
resolutions”.

India’s reaction is consistent with its previous objections against elections in G-B and in other parts of
PoK, which it refers to as “Azad Jammu Kashmir”.

https://www.thehindu.com/todays-paper/tp-national/india-flays-nod-for-gilgit-baltistan-
polls/article31506292.ece

Rajasthan defers staff salaries as revenues dry up #GS2 #Governance

The revenue collection in Rajasthan in the first month of fiscal 2020-21, after the COVID-19 lockdown
was enforced, has fallen by 70%, even as there was a shortfall of Rs. 18,000 crore in the last fiscal 2019-
20, according to the State Finance Department.

While the State had budgeted for revenues of Rs. 8,400 crore, including Rs. 6,800 crore through taxes
and GST compensation and Rs. 1,600 crore of non-tax revenue, it has achieved only Rs. 1,800 crore by
April-end.

Massive shortfall
In March, there was a shortfall of Rs. 3,500 crore, putting the State in a fiscal crisis. Rajasthan has
allocated Rs. 1,200 crore for the expenses to deal with the impact of COVID-19, including the
expenditure for providing free wheat under the public distribution system to the beneficiaries of
National Food Security Act.

The biggest decline in tax revenue earnings has been witnessed in stamp duty and registration and
vehicle taxes, as there was almost no sale of property and vehicles during the lockdown. Against the
target of Rs. 466 crore for stamp duty and registration in April, the State has got only Rs. 6 crore. For
vehicle tax, the target was Rs. 500 crore, while the State collected only Rs. 8 crore.

In view of the adverse impact on revenue collection of States due to the lockdown, Chief Minister Ashok
Gehlot, who also holds the finance portfolio, has demanded from the Centre a grant of Rs. 1,00,000
crore for the States, which can be distributed according to the States’ share in Central taxes or as per the
standards prescribed by the GST Council or Inter-State Council.

In a 15-point note submitted to Prime Minister Narendra Modi after his video-conference with the Chief
Ministers on Monday, Mr. Gehlot said the revenue loss compensation given to the States for five years
since the implementation of GST should now be increased to 10 years, looking at the local circumstances
and economic situation of every State.

Besides, a six-month, interest-free moratorium should be granted on payment of instalments of

principal amount and interest on loans taken by the State governments, their boards, corporations or
companies, including the power companies, from the Union government and its various institutions,
such as the Power Finance Corporation.
The fiscal expenditure should be encouraged to bail out the economy at this challenging time, said Mr.
Gehlot. For this, the Union government should immediately release the first instalment of its share of
centrally sponsored schemes and the process of releasing the amount should also be simplified.

The Chief Minister welcomed the decision of increasing the limit for Ways and Means Advances to 60%
and demanded that full rebate should be given on interest on advances to the States. Also, the limit of
net loan that the States can take should be increased from 3% of State GDP to 5% without any
conditions.

As the State’s GDP is around Rs. 11,00,000 crore, the 2% raise will enable the State to borrow about Rs.
20,000 crore more from the open market.

As part of the measures to deal with the crisis situation amid rapid deterioration of financial condition,
the Rajasthan government has partially deferred the salaries of MLAs and its employees, including the
all India services officers, in March, while five days’ salary was deducted as contribution to the Chief
Minister's Relief Fund for COVID-19.

In the postponement of salary payment, 75% salary of legislators, 50% salary of all India services officers
and 30% salary of other government officials has been deferred.

https://www.thehindu.com/todays-paper/tp-national/rajasthan-defers-staff-salaries-as-revenues-dry-
up/article31506282.ece

DRDO develops a disinfection tower #GS3 #SNT

The Defence Research and Development Organisation (DRDO) has developed an ultraviolet (UV)
disinfection tower for rapid and chemical-free disinfection of high infection-prone areas.

The equipment named UV Blaster is “useful for high-tech surfaces like electronic equipment,
computers and other gadgets in laboratories and offices that are not suitable for disinfection with
chemical methods. The product is also effective for areas with a large flow of people such as airports,
shopping malls, metros, hotels, factories and offices,” a DRDO statement said.

It was designed and developed by Laser Science & Technology Centre (LASTEC) based in Delhi with the
help of New Age Instruments and Materials Private Limited, Gurugram. For a room of about 12 ft x12 ft
dimension, the disinfection time is about 10 minutes.

https://www.thehindu.com/todays-paper/tp-national/drdo-develops-a-disinfection-
tower/article31506329.ece

PM slams Pakistan in virtual NAM meeting #GS2 #IR

Prime Minister Narendra Modi on Monday made an indirect reference to Pakistan during an online
meeting of the Non-Aligned Movement (NAM) Contact Group, and said some countries were fomenting
terrorism in the midst of the global pandemic.
Mr. Modi supported a more representative post-COVID-19 world order and urged the World Health
Organization (WHO) to focus on building health capacity in the developing countries.

“Even as we fight COVID virus, some people are busy spreading other deadly viruses such as terrorism,
fake news and doctored videos to divide communities and countries,” Mr. Modi said in a video
statement to the NAM grouping, which met on the theme of “United against COVID-19”.

The remark may be seen as a reference by Mr. Modi to Pakistan’s role in supporting cross-border
terrorism in recent days, with a spike in ceasefire violations across the Line of Control in Kashmir.

The comment also takes a dig at Pakistan’s alleged role in the ongoing social media spat between Indian
and Gulf-based commentators. Indian authorities have maintained that some of the social media posts
against Indian interests in the Gulf were promoted by Pakistan-based activists.

https://www.thehindu.com/todays-paper/tp-national/pm-slams-pakistan-in-virtual-nam-
meeting/article31506326.ece

Bears on the rampage as U.S.-China spar #GS3 #Economy

A mix of global and domestic factors pulled down the Indian equity benchmark indices on Monday,
snapping a four-day gaining streak as well.

Market participants attributed the drop to the overall weak trend in global markets as the U.S. and
China engaged in a fresh spat after the former threatened fresh tariffs while alleging that COVID-19
originated in a China lab.

On the domestic front, the 14-day extension of the lockdown dampened investor sentiments that was
already subdued on account of weak corporate earnings by heavyweights such as Hindustan Unilever,
and Reliance Industries

The 30-share Sensex lost a whopping 2,002.27 points, or 5.94%, to close at 31,715.35. As many as 28 of
the 30 constituents of the benchmark ended deep in the red on Monday.

Stocks such as ICICI Bank, Bajaj Finance and HDFC lost more than 10% each while IndusInd Bank, Axis
Bank, HUL, Reliance Industries, Tech Mahindra, Infosys and State Bank of India, among others, also
declined. In the broader market, more than 1,800 stocks lost ground as against about 550 gainers.

The Nifty lost 566.40 points, or 5.74%, to close at 9,293.50. More importantly, the India VIX index, which
was trading flat in the last few trading sessions, spiked almost 29% on Monday.

Weak global cues

“Weak global cues, poor macro data locally, the latest U.S.-China spat and poor corporate earnings led
to the fall,” said Deepak Jasani, head, retail research, HDFC Securities.
Incidentally, the Nikkei manufacturing Purchasing Managers’ Index (PMI) for India declined to 27.4 in
April from 51.8 in March. This was the sharpest deterioration since data analytics firm IHS Markit began
recording the data 15 years ago.

Meanwhile, foreign portfolio investors continued to remain sellers of Indian shares at Rs. 1,374 crore on
Monday. Domestic institutions also were net sellers at almost Rs. 1,662 crore.

Elsewhere in Asia, Hang Seng lost over 4% on Monday while Nikkei was down nearly 3%. The
benchmarks of South Korea, Taiwan, Indonesia, Malaysia, Philippines and Singapore all closed in the red.

https://www.thehindu.com/todays-paper/tp-business/bears-on-the-rampage-as-us-china-
spar/article31506225.ece

Rupee snaps 4-day rally on U.S.-China tensions #GS3 #Economy

The rupee ended its four-day rally as weakness in domestic equities spilled over to the currency market,
pushing the domestic unit 64 paisa lower against the dollar to close the day at 75.73.

The rupee opened weaker at 75.70 compared to the previous close of 75.09. It hit the day’s low of 75.80
before closing at 75.73, down 64 paisa from Thursday’s close.

According to dealers, renewed trade tensions between the United States and China weighed on the
currency apart from a strengthening dollar.

“The greenback surged following safe-haven buying as uncertainty increased after U.S. President Donald
Trump threatened to impose new tariffs on China,” said Sugandha Sachdeva, VP-metals, energy and
currency research, Religare Broking. The dollar index, that gauges the greenback’s strength against a
basket of six currencies, rose 0.27% to 99.35.

“Going ahead, sentiments remain weak and fresh concerns that trade tensions could delay an economic
recovery are likely to weigh on the local unit.Rupee is likely to gyrate in the range of 75.20 and 76.60 in
the near term,” said Ms. Sachdeva.

https://www.thehindu.com/todays-paper/tp-business/rupee-snaps-4-day-rally-on-us-china-
tensions/article31506229.ece

‘Water availability good but states will now find it difficult to spend on projects’
#GS3 #Economy
Jal Shakti Minister Gajendra Singh Shekhawat speaks to Liz Mathew on the water availability in the
country amid the lockdown and how the COVID-19 outbreak will hit water-related projects.

How do you see the water situation in the country now?

Although water is a state subject and the states are managing it primarily, out of the 5500 plus
reservoirs, 138 are being monitored by the Centre. Those have the capacity of 66 per cent of the total
capacity… Fortunately, this year, as on April 30, we have the capacity of 56 per cent more water and if I
compare last 10 years’ average, water availability is 46 per cent more…

This gives us an idea that in the reservoirs across the country, we would have a good amount of water to
cater to our domestic and drinking needs and agricultural demands. Secondly, in the Himalayan system,
snow on the peaks is unprecedentedly high.

Never in the last 50 years, peaks had this amount of snow at this time. So the water from the melting of
the snow will also come in high quantities, especially in Bhakra, Nangal etc as well as in Ganga and
Yamuna…we are in a better position this year and hopefully we won’t face a situation like what we faced
in Chennai this year.

The National Infrastructure Pipeline task force’s report put fresh water as one of the vital challenges
for the 2025 infrastructure vision. How do you see the situation now?

Now water has become more significant. In any case, it is the lifeline of all development and the centre
of policy planning in agrarian countries like ours. In the post- COVID19 era, the situation in the world is
going to change… India will have more opportunities. Our water resources and its sustainability is very
critical. We have that in mind.

You are heading the Jal Jeevan Mission to provide functional tap water connection to every household
in the country by 2024 which is closely linked to the housing for all programme. Do you see such
missions getting affected by the coronavirus situation?

There is no idea of reviewing targets now. The targets we have fixed for this financial year, we will see
that we are on our targets. No doubt the COVID-19 situation has had an impact on everything. To deal
with the situation, during this lockdown, we have requested all the states… I have spoken to all the state
ministers and we have had video conferences with the water resources ministers, drinking water
ministers, officials, engineers etc to complete DPR and project planning with the available data so that
we can begin work immediately after the lockdown.

The government has already relaxed the restrictions on constructions on water-related activities. We
have spoken to the states to initiate work… and work on low-hanging fruits to see that water is stored
and reserved.

Are you concerned about the expenditure cuts in the wake of the current crisis?

Certainly. I am not so concerned about the government of India even though the crisis will affect its
resources and expenditure. I am more concerned about the states. The states are going to face a
difficult situation. In Jal Jeevan mission, barring the Himalayan states and the Northeastern states or the
UTs, all states… are working on projects on a 50:50 quotient. For states to spare such budgetary
allocation in the next three years in this condition looks very difficult to me… I think the states should fix
their priorities and water should be at the top.
The government has initiated attempts under Atal Bhujal Yojana to strengthen the institutional
framework for participatory groundwater management and bring about behavioural changes at the
community level. How far has it succeeded?

It is at nascent stages…. this COVID-19 outbreak has affected it…. I have told the states to prepare the
programmes and have asked officers to converge the resources and funds available to states under
different heads for better results.

One positive impact highlighted by most environmentalists is how the COVID-19 crisis helped the
earth clean itself. How far would it help your mission on clean water?

Undoubtedly it has helped. Pollution levels have dipped as industrial effluents have come down… I have
already asked my departments to study the change in the quality of the water in Ganga and Yamuna
from the first day of lockdown. We are compiling all the studies and analysing… it’s not just because of
the lockdown. It’s also because of the Namami Gange Project. Also, the rainfall during the lockdown has
increased the water flow in Yamuna. With less farming activities, water quantity has increased from an
average 300 cusecs this time to 3000 cusec. This is how nature heals itself. It’s a point of introspection
for all of us.

There has been much discussion on the Bhilwara model in Rajasthan’s fight against COVID-19? What’s
your view on it?

In Bhilwara, it was all initiated by a doctor’s family.When they started having symptoms, they reported it
to district administration and they worked well. If somebody has been applauded, it’s the public. They
behaved responsibly and followed all instructions… But the state government became complacent. They
could not address similar situations in Jaipur and Jodhpur. Why have they failed in these places?

https://indianexpress.com/article/india/coronavirus-india-lockdown-water-availability-good-but-states-
will-now-find-it-difficult-to-spend-on-projects-6394192/

In antibodies from llamas, scientists see COVID hope #GS3 #Environment #SNT
In a llama named Winter, researchers have found an unlikely ally in the hunt for an effective treatment
for COVID-19, the University of Texas at Austin said in a statement. The researchers linked two copies of
a special kind of antibody produced by llamas and created a new antibody, which binds tightly to a key
protein on the novel coronavirus SARS-CoV2. This protein is the spike protein, shaped like a corona
(crown) that gives coronaviruses their name. It is also the protein that allows the virus to break into
human and animal cells.

Initial tests with the new antibody and cultured cells indicated the antibody blocks viruses with this
spike protein from infecting cells. The researchers are from the University of Texas at Austin, US
National Institutes of Health and Ghent University in Belgium. They have reported their findings in the
May 5 issue of the journal Cell. The paper is online as a “pre-proof” — meaning it is peer-reviewed but
undergoing final proofreading.
The team is now preparing to conduct preclinical studies in animals such as hamsters or nonhuman
primates, with the hopes of next testing in humans. The goal is to develop a treatment that would help
people soon after infection with the virus.

Winter, the llama, is 4 years old, female, and living on a farm in the Belgian countryside along with
approximately 130 other llamas and alpacas

https://indianexpress.com/article/explained/in-antibodies-from-llamas-scientists-see-covid-hope-
6394007/

Why liquor matters to states #GS3 #Economy

FOLLOWING THE easing of restrictions in the third phase of the nationwide lockdown, some of the most
striking images on Monday showed long queues outside liquor stores around the country. By the
evening, the Delhi government announced a 70% hike in the price of liquor across categories in the
capital, starting Tuesday.

Delhi’s “special corona fee” on alcohol underlines the importance of liquor to the economy of the states.
Manufacture and sale of liquor is one of the major sources of their revenue, and the reopening comes at
a time when the states have been struggling to fill their coffers amid the disruption on account of the
lockdown.

How do states earn from liquor?

Liquor contributes a considerable amount to the exchequers of all states and Union Territories except
Gujarat and Bihar, both of which have enforced prohibition. Generally, states levy excise duty on
manufacture and sale of liquor.

Some states, for example Tamil Nadu, also impose VAT (value added tax). States also charge special fees
on imported foreign liquor; transport fee; and label & brand registration charges. A few states, such as
Uttar Pradesh, have imposed a “special duty on liquor” to collect funds for special purposes, such as
maintenance of stray cattle.

A report published by the Reserve Bank of India last September (‘State Finances: A Study of Budgets of
2019-20’) shows that state excise duty on alcohol accounts for around 10-15 per cent of Own Tax
Revenue of a majority of states. In fact, state excise duties on liquor is the second or third largest
contributor to the category State’s Own Tax revenue; sales tax (now GST) is the largest. This is the
reason states have always wanted liquor kept out of the purview of GST.

How much do the state governments earn from excise on liquor?

The RBI report shows that during 2019-20, the 29 states and the UTs of Delhi and Puducherry had
budgeted a combined Rs 1,75,501.42 crore from state excise on liquor. This was 16% higher than the Rs
1,50,657.95 crore they had collected during 2018-19.
On an average, the states collected about Rs 12,500 crore per month from excise on liquor in 2018-19,
which rose to about Rs 15,000 crore per month in 2019-20, and which was further expected to cross Rs
15,000 crore per month in the current financial year. This projection was before the COVID-19 outbreak.

“Uttar Pradesh collected a monthly average amount of Rs 2,500 crore from liquor in the last financial
year and we hope get about Rs 3,000 crore in the current financial year,” said a top official with the UP
government.

Which states collect the highest amounts in this form of revenue?

There is a time lag in the compilation of revenue data from the states, so full-year figures are available
only up to 2018-19. During that financial year, the five states that collected the highest revenue from
excise duty on liquor were Uttar Pradesh (Rs 25,100 crore), Karnataka (Rs 19,750 crore), Maharashtra
(Rs 15,343.08 crore), West Bengal (Rs 10,554.36 crore) and Telangana (Rs 10,313.68 crore). For amounts
collected as VAT and special fees on import for foreign liquor, state-wise figures are not available.

One reason why UP collects the highest is that it levies only excise duty on manufacture and sale of
liquor. It does not collect VAT separately, unlike states such as Tamil Nadu, whose VAT collections do not
reflect in the excise duty collections.

With Bihar and Gujarat having prohibited liquor, Bihar had ‘nil’ revenue from liquor in 2018-19 and
2019-20, while Gujarat’s liquor revenue was negligible. Andhra Pradesh too announced prohibition last
year; however, sale of the liquor has been allowed with “prohibition tax” from Monday.

What exactly is state excise?

State excise is levied mainly on liquor and other alcohol-based items. Revenue receipts from state excise
come mainly from commodities such as Country Spirits; Country Fermented Liquors; Malt Liquor; Liquor;
Foreign Liquors and Spirits; Commercial and Denatured Spirits and Medicated Wines; Medicinal and
Toilet Preparations containing Alcohol, Opium etc; Opium, Hemp and other Drugs; Indian Made Foreign
Liquors; Spirits, and Sales to Canteen Stores Depots. Besides, a substantial amount comes from licences,
fine and confiscation of alcohol products.

What are the other sources of revenue for the states?

The states’ revenues comprise broadly two categories — Tax Revenue and Non-Tax Revenue. Tax
revenue is divided into two further categories: State’s Own Tax Revenue, and Share in Central Taxes.
Again, Own Tax Revenue comprises three principal sources: Taxes on Income (agricultural income tax
and taxes on professions, trades, callings and employment); Taxes on Property and Capital Transactions
(land revenue, stamps and registration fees, urban immovable property tax); and Taxes on Commodities
and Services (sales tax, state sales tax/VAT, central sales tax, surcharge on sales tax, receipts of turnover
tax, other receipts, state excise, taxes on vehicles, taxes on goods and passengers, taxes and duties on
electricity, entertainment tax, state GST, and “other taxes and duties”).

According to the RBI report, in 2019-20, state GST had the highest share, 43.5%, in states’ Own Tax
Revenue, followed by Sale Tax at 23.5% (mainly on petroleum products which are out of GST), state
excise at 12.5%, and taxes on property and capital transactions at 11.3%.

https://indianexpress.com/article/explained/explained-why-states-are-so-keen-about-excise-duty-on-
liquor-6393643/

Does nicotine help fight COVID-19? The science behind a novel hypothesis #GS3
#SnT
SMOKING KILLS. So does COVID-19, and if a smoker contracts the disease, conventional wisdom should
suggest that he or she faces a higher risk of severe illness or death.

Now, researchers in France have turned that conventional wisdom on its head. They have put forward a
hypothesis that the presence of nicotine actually equips the body to fight COVID-19. And they are
conducting trials to test the hypothesis.

What is the basis of the hypothesis?

It has been postulated by researchers from a number of leading French institutions — the government
research institutes CNRS and Inserm, the hospital network Assistance Publique-Hôpitaux de Paris,
Sorbonne University, Collège de France, and Institut Pasteur. They have described the hypothesis in a
paper written for the journal Comptes Rendus de Biologie de l’Académie des sciences, and published a
version on a pre-print server.

“The researchers’ hypothesis is based on the combination of two different but complementary scientific
approaches,” Institut Pasteur said in a statement. One of these two approaches is based on a statistical
analysis of COVID-19 deaths in a French hospital, and the other on the biochemistry of the human body.

What is the statistics-based approach?

It draws from an observation of the proportion of smokers among patients who died of COVID-19. These
were patients at Pitié Salpétrière University Hospital, Paris. “In the hospitalised in-patients vs less severe
out-patients, a smoking rate of 4.4% vs 5.3% was found, both very low against 25.4% in the general
population. This finding has been confirmed by an independent study,” neuroscientist Jean-Pierre
Changeux of Institut Pasteur said in an interview published by the European research initiative Human
Brain Project.

The statistical study was led by Prof Zahir Amoura of the same hospital, together with Changeux. The
two are among the authors of the study that describes the nicotine hypothesis. Changeux is also a
pioneer in the study of a key chemical structure in the body, one that forms the basis of the second part
of the hypothesis.

What is this chemical structure?

It is a kind of “receptor”. In the conversation around COVID-19, we have been hearing a lot about
receptors. These are structures composed of protein, and they receive signals that may be integrated
into the body. These signals can come from various substances, such as a hormone, a drug, or an
antigen. For example, the surface of the human cell has receptors called ACE2, which open the door for
the novel coronavirus SARS-CoV2 to enter the body.

At the centre of the nicotine hypothesis is a receptor that responds to nicotine as well as a chemical
called acetylcholine. Hence its name: “nicotinic acetylcholine receptor”, abbreviated as nAChR. It is
found in parts of the nervous system, muscle and certain tissues of organisms including humans.
Changeux has researched this receptor for decades, with one paper dating back to 1965.

How does this receptor fit into the hypothesis about nicotine?

Since nicotine is known to bind with the nAChR receptor, the second part of the hypothesis goes like
this: If nicotine is present on the receptor, and the novel coronavirus arrives, then the nicotine would
block the interaction.

In existing scientific knowledge, there is a possible pointer. The rabies virus is known to bind with the
same receptor, and this interaction is driven by a sequence of genetic material that exists in the
envelope around the rabies virus. “Amazingly there is a rather similar sequence in the envelope of SARS-
CoV2. Its role is presently under investigation,” Changeux said in the interview.

And how will the researchers test their hypothesis?

Clinical studies are in progress, Institut Pasteur said. A Reuters report described the nature of the trial. It
will involve groups of healthcare workers and patients wearing nicotine patches, and other groups
wearing placebo patches. There will be 1,500 healthcare professionals in the trial, which will seek to
assess whether those wearing the nicotine patches are more resistant to COVID-19 than those wearing
the placebo patches.

How does this hypothesis sit against conventional views about smoking?
The widely accepted view is that the lungs of smokers are already compromised to various extents,
hence they are likely to be more vulnerable to a disease that attacks the respiratory system. Some
researchers have suggested, in fact, that the lower mortality rate among women patients of COVID-19 is
a fallout of the fact that men tend to smoke more.

Again, the nicotine hypothesis involves the nAChR receptor, when SARS-CoV2’s main interactions are
with a different receptor: ACE2. A study last month, in fact, looked at the expression of ACE2 among
smokers and non-smokers. People who have smoked showed a 25% increase in ACE2 expression as
compared to non-smokers, researchers reported in the American Journal of Respiratory and Critical Care
Medicine. They suggested that smoking increases entry points for the novel coronavirus.

The Indian Express sent a mail to Changeux asking, among various questions, how far the cohort of
COVID-19 patients in the statistical analysis of deaths was representative of the general population. He
was yet to respond at the time of filing.

https://indianexpress.com/article/explained/does-nicotine-help-fight-covid-19-the-science-behind-a-
novel-hypothesis-6394013/