New Delhi: The Central government on Thursday released the regular instalment of tax devolution worth Rs 1,09,019 crore to state governments, ahead of the normal release date on November 10 in view of the festive season and Diwali.
“In view of upcoming festive season and to enable states to accelerate capital spending and finance their development/welfare related expenditure, the Union Government released regular tax devolution of Rs 1,09,019 crore to State Governments in advance,” the Finance Ministry said in a statement.
Uttar Pradesh, the most populous state, received Rs 19,208 crore, Bihar received Rs 10,845 crore, Madhya Pradesh Rs 8,010 crore, West Bengal Rs 7,866 crore, Maharashtra Rs 7,022 crore, and Rajasthan Rs 6,460 crore, among others.
Last week, the Union Government released an additional instalment of tax devolution worth Rs 1,09,019 crore to state governments, which is in addition to the regular monthly devolution.
The release of the additional instalment of tax devolution was in view of the upcoming festive season and to enable states to accelerate capital spending and finance their development/welfare related expenditure, according to the Finance Ministry.
In August, the government released an additional instalment of tax devolution worth Rs 1,09,019 crore to state governments, which was in addition to the normal monthly devolution. The release was in line with the commitment of the Centre to strengthen the finances of states to accelerate their capital and developmental expenditure.
Meanwhile, India’s fiscal deficit for the first six months (April-September) of the current financial year touched the Rs 7.14 lakh crore mark, which constitutes 42.1 per cent of the budget estimate for the full year, official figures showed.
The Centre has budgeted a fiscal deficit of Rs 16.96 lakh crore for the financial year 2026-27. Revenue receipts stood at Rs 17.57 lakh crore, which constitutes 49.7 per cent of the budget estimate. Of this, the net tax revenue was Rs 12.76 lakh crore, while non-tax revenue was Rs 4.81 lakh crore.
(IANS)
