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.
Comments
Some cases people do not know how pakistan flag looks and Islamic flag ... just see green colour and assume pakistan flag... last time SRS member hosted pakistan flag not islamic one..
pakistani flag nowhere near to islamic flag. Green is not islamic flag
What a comment from Master Blaster Ganeshanna are you Citizen of Hindustan? A flag issue you are sending a Indian Citizen to pakistan is it Fair.. YOU biggest buffoon's doing to our Great Hindustan !!!!!!
What you thought about Hindustan, we are proud ourselves like Peanut we do not care Anna, Gangasara makes things very difficult!!!!!!
Jai Hoo Hindustan.
By the way where we can send this Rama Sene for hoisting pakistan flag? Please suggest a country @ Truth Mangalore, Ganesh, Unknown.. Please suggest them a country too,
Many readers here are suggest to arrest the youth and kick him out to Pakistan for hoisting Pak flag (not yet confirmed). However, they are hiding to tell the truth about hoisting Pak flag by SRS terrorists. Instead of asking the culprits to punish, they had supported these goondas. This was done only to blame minorities. In the particular case also i doubt that it was fabricated by sangh parivar. This should be investigated and the person should be punished in case he really hoisted pak flag. However, please make is clear that he is not mentally sick.
enquire about the person who is behind and put him behind the bars....what about the pakistani flag hosted by sri rama sene member before ?????????????? where we need to send him.
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