New Delhi: The Centre has released an additional Rs 1,09,019 crore in tax devolution to states, with Karnataka receiving Rs 4,504 crore as its share. The amount is the second additional instalment for the current financial year, over and above the regular monthly tax transfers.
The Centre had released a similar additional allocation of Rs 1.09 lakh crore in August. The latest release is expected to help states accelerate infrastructure projects and increase spending on welfare schemes.
Uttar Pradesh received the highest allocation at Rs 19,208 crore, followed by Bihar with Rs 10,845 crore. Madhya Pradesh was allocated Rs 8,010 crore, West Bengal Rs 7,866 crore and Maharashtra Rs 7,022 crore.
Union Finance Minister Nirmala Sitharaman announced the release on X, saying the additional amount was being transferred alongside the regular monthly tax devolution. She said the funds would support infrastructure development, welfare programmes and economic growth in states.
The release comes amid strong GST collections. India’s GST revenue crossed Rs 2.03 lakh crore in September, registering a 14.7% year-on-year increase. Karnataka recorded a 16% rise in GST collection during the same period, with revenue reaching Rs 13,884 crore.
The additional funds are expected to provide state governments with greater financial flexibility to meet development and welfare commitments.
