The Centre’s strong revenue position is boosting state coffers as well. With the jump in the central tax kitty, states have been given two additional tranches of tax devolution this month.
According to a Finance Ministry statement, the Union Government released another additional instalment of tax devolution of ₹1.42 lakh crore, which is over and above the ₹72,961 crore already released on February 12. The total additional tax devolution for the month of February now amounts to over ₹2.15 lakh crore. This additional share in central tax revenues is expected to spur the financing of welfare and infrastructure schemes of state governments, the Finance Ministry said.
Finance Minister Sitharaman tweeted, ”With this release, States have received three instalments of tax devolution in February 2024.”
(Edited by : Keshav Singh Chundawat)
