The Union Finance Ministry released an additional tax devolution instalment to State governments amounting to ₹1.09 lakh crore. The Ministry described the additional release as being over and above the regular monthly devolution.
What happened (tax devolution instalment released by the Union Finance Ministry)
The Union Finance Ministry stated that it released an additional instalment of tax devolution to State governments worth ₹1.09 lakh crore. The release was in addition to the regular monthly devolution that occurs during the fiscal year.
Background and earlier position (instalment structure of tax devolution in a fiscal year)
The Union Finance Ministry linked the instalment-based flow of tax devolution to the broader yearly sharing pattern. The Ministry stated that, in a fiscal year, States receive 41% of Centre-collected taxes through 14 instalments.
What changed now (additional payment on top of regular monthly devolution)
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