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
All Muslim must Vote for SDPI...we should follow our hindu ppl...how they VOTE only for BJP in mangalore ...if the cadidate is also DOG..if it is hindu then they will vote for it....in similerly we should vote for SDPI if the cadidate is CAT....vote for religion not for this country development...
D'Souza Gaddar man...what is the construbution of your community towards indian independence...you people are slave and licking boots of british...we and our hindu brother fought & die to this country...
the biggest terror is the george W bush
we all know about you people...you always spread division, curription on earth and make people fight and play innocent role...
killing people using modern weapon & black suit with tie doest not make innocent..its also terror attack..
ALL Muslim must VOTE for SDPI, we all know the capacity of congress leader...NAMARD cadidate....if we defeat also we should vote for SDPI....
from where do you get all these infos ? Pls list out the outfit names also so that we can laugh out loudly.its an open challenge for you , prove your allegations if you dare
Wow Kudos to CD team for appraove OP's opinion. Kindly ensure similair opinion about national parties will be reflected as well. Journalism must be people friendly and request CD Editor team not to biased and respected readers opinion. Thanks
SDPI ZINDABAD............ YES LET CONGRESS SUPPORT SDPI IF THEY R REALLY A SECULAR PARTY........
SDPI is political arm of PFI, which allegedly has links with several terror outfits. All those who vote for this fellow are terrorists.
Let Congress – if it is really a secular party – decide not to field candidate from Dakshina Kannada and officially support SDPI as the latter had done in many seats in last Assembly polls. All the shortlisted Cong ticket aspirants are useless, shameless and corrupt people. Let all the peace lovers back SDPI this time.
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