New Delhi/Bhubaneswar: The Central government on Thursday released tax devolution of Rs 1,78,173 crore to states, including Rs 8,068 crore for Odisha, in a bid to enable them to boost development and capital spending.
The Ministry of Finance said in a statement that the Centre has released tax devolution of Rs 1,78,173 crore to state governments, as against the normal monthly devolution of Rs 89,086.50 crore.
It includes one advance instalment, in addition to the regular instalment due in October.
This release is in view of the upcoming festive season and to enable states to accelerate capital spending, and also finance their development/ welfare related expenditure.
Among the states, Uttar Pradesh (Rs 31,962 crore), Bihar (Rs 17,921 crore), Madhya Pradesh (Rs 13,987 crore), Maharashtra (Rs 11,255 crore), West Bengal (Rs 13,404 crore), Rajasthan (Rs 10,737 crore), Odisha (Rs 8,068 crore), Andhra Pradesh (Rs 7,211 crore) and Telangana (Rs 3,745 crore) were the top receivers.
Sources said the central government will transfer Rs 23,48,980 crore to states and union territories in FY 2024-25, an increase of 11.9 per cent over the actuals of 2023-24.
Devolution to states from the Centre’s tax revenue is estimated to be Rs 12,47,211 crore in 2024-25, an increase of 10.4 per cent over the actuals of 2023-24.
In FY 2023-24, according to the actuals, devolution to states is estimated to be Rs 1,08,046 crore more than the budget estimate of Rs 10,21,448 crore (an increase of 10.6 per cent).
