The authorities on Friday (May 30, 2025) authorized an extra instalment of ₹81,735 crore as tax devolution to States, which is able to be released on June 2.
This launch is as well as to the common month-to-month instalment of tax devolution of ₹81,735 crore, which is able to be released on June 10, 2025.
“The Union Government has approved an additional instalment of ₹81,735 crore as Tax Devolution to the State Governments, which will be released on June 2, 2025,” the Finance Ministry stated in a press release.
The further instalment of devolution to States is consistent with the precept of cooperative federalism and the intention of turning into ‘Viksit Bharat’ by 2047, it added.
“The additional instalment of devolution will enable the States to speed up their Capital spending, finance their development and welfare-related expenditure and also make available resources for priority projects/schemes of the States,” the Ministry stated.
Currently, 41% of taxes collected by the Centre is devolved in instalments amongst States throughout a fiscal 12 months.
Published – May 30, 2025 11:38 pm IST
