New Delhi, Jan 10 (FN Agency) The central government on Friday released tax devolution of Rs 1,73,030 crore to state governments to accelerate capital spending and finance their development and welfare-related expenditures. “A higher amount is being devolved this month to enable states to accelerate capital spending and finance their development and welfare-related expenditures,” Finance Ministry said in a statement.
Tax devolution refers to distribution of tax revenues between the central government and states. Uttar Pradesh has received the biggest chunk of tax devolution, getting Rs 31,039.84 crore followed by Bihar which has received Rs 17,403.36 crore. Among other large states, West Bengal, Madhya Pradesh, Maharashtra and Rajasthan have received tax devolution of Rs 13,017.06 crore, Rs 13,582.86 crore, Rs 10,930.31 crore and Rs 10,426.78 crore, respectively. Among smaller states, Goa has received Rs 667.91 crore while Sikkim has received Rs 671.35 crore.