Amit Shah to visit communally sensitive areas of Mangaluru on Aug 21

Bengaluru, Feb 5: Despite installing a BJP government in Karnataka through disguised operation Kamala, the Prime Minister Narendra Modi-led union government has continued its step motherly attitude towards this south Indian state.

Under the new formula adopted to share central taxes among states Karnataka will be the worst-affected. Though the 15th Finance Commission has recommended a special grant of Rs 5,495 crore for the state for 2020-21, the Centre appears reluctant to pay up and instead has asked for the proposal to be reviewed.

During the Union budget, the report of the 14th Finance Commission headed by NK Singh for 2020-21 was tabled in Lok Sabha. It shows besides Karnataka, Telangana, Mizoram and Kerala saw their central tax share decrease, while Uttar Pradesh, Bihar and Maharashtra were top gainers.

Karnataka's share has decreased from 4.7% provided by the previous finance commission, to 3.6%. Acknowledging there is a steep decline in Karnataka's share from 2019-20, the finance commission has recommended a special grant of Rs 5,495 crore for the state.

Its share in 2019-20 was Rs 36,675 crore, but under the new formula, Karnataka will get only Rs 31,180 crore in 2020-21 from the divisible pool of Rs 8.5 lakh crore - a decline of 22.5%.

Also, the decrease for Karnataka comes on the back of a shortfall in 2019-20. While the state was entitled to Rs 39,806 crore from the divisible pool, it got only Rs 36,675 crore as the Centre suffered a tax revenue shortfall of Rs 1.5 lakh crore.

What is more disheartening though is the Centre's refusal to pay the special grant. Instead, the Union finance ministry has asked the finance commission to reconsider the recommendation. This has prompted the state to take up the issue with the Centre.

"The decline in central taxes devolution comes at a time when the state is going through a tough financial situation. Steps are being taken to ensure Karnataka gets justice," said chief secretary TM Vijay Bhaskar.

Officials said besides corrective measures for 2020-21, the focus will be on ensuring a fair share in subsequent years. However, Karnataka has little chance of getting its dues as the Centre is known to be prudent when distributing tax proceeds among states.

"The Centre has certain views on devolution. We have done our duty by submitting the interim report. It's up to the states to convince the Centre," said Ravi Kota, joint secretary of 15th Finance Commission.

Under the new formula, the commission changed the weightage for some of the six criteria it considers - population, area, forest cover, income distance, demographic performance and tax effort.

Bengaluru, Feb 17: Leader of Opposition in Karnataka Assembly Siddaramaiah on Monday demanded that forest minister Anand Singh should either be expelled from the Cabinet or assigned a different portfolio.

This comes amid a number of cases, pending against Singh, including those under the Karnataka Forest Act.

"How can we expect justice from Anand Singh who has been made forest minister and is accused of (illegal mining)? We demand that he should either be dropped out of the state Cabinet or at least his portfolio be changed," Siddaramaiah told media.

Earlier in the day, Chief Minister BS Yediyurappa allocated portfolios to the 10 newly inducted ministers in his Cabinet.

As part of state Cabinet's expansion, 10 MLAs including Ramesh Jarkiholi, Anand Singh, K Sudhakar, and BA Basavaraja took oath as ministers at Raj Bhawan in Bengaluru on February 6.

Chikkamagaluru, Jan 28: Karnataka Deputy Chief Minister and Minister for Public Works Govind Karjol on Tuesday said that he is ready to quit if the post asks him to do so to pave way for smooth expansion of the Cabinet.

Responding to a question from media persons on the issue here, he said he was ready to quit his post any time.

“If the party asks me to resign now, I will send back my official car and return by bus”, he added.

Further, he opined that there should not be efforts to seek a berth in the Cabinet based on caste.

“Putting pressure on the party based on caste is not right. The party will consider those who worked for the party and also take district-wise representation into account while filling up the vacancies”, he added.