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
RIP. very sad and shocking incident. He was not a trouble monger like Bajrangis. Miscreants attacked him only with the intention of creating communal riot.
@ # 1
You mean to say, RSS terrorist will eliminated from our land very shortly?
There could be hand from this group in this murder. This case has to to investigated thoroughly without bias and bring the accused and conspirator in to justice
When hindus are murdered BJP RSS shed crocodile tears by holding protest and infact they rejoice as they can take political mileage
And congi is no saint. Why allow to hold protest when there is section144.
BJP preaches about patriotism nationalism obey law of land bla bla..and they are making mockery of law
Police shud file case for insulting law
Yes Naren, anti nationals like Bharat murderer of Ashraf need to be eliminated .. Agree totally with you ..
Let police and law decide who killed rathee than u .
Look at the case of Kartik Raj murder , all fanatics like you and other jama chaddis told it was done by muslims only to find out later who did that ..
Justice prevails , but assholes like Bharat and all his associates and his idols need to be hanged
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