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
Unempolyment and farmer death are the issues gifted on us by the central BJP government from demonitisation and GST. Now our PM friends Donald trumps administration also accepted that due to this two isssues Indias growth has been slow for more then a year now.
Unemployment of whom ? Siddaramaiah claims 15 lakhs jobs have been created but has yedduyurappa the guts to ask how many native Kannadigas got the job ?
Regarding cauvery why he did not even open his mouth on SC judgment .
Was there a gag order from Delhi high command. He did not have guts to even welcome the judgment. Probably he knows it was outright injustice to Karnataka but he is helpless and is concerned about his career ! Of course Cong & JD-S also did not have the guts.
Regarding atrocities on women nothing prevents Modi govt. making stringent laws and Karnataka will definitely welcome it. But Modi is too busy with "Man ki bath " , Foreign tours. All he knows is vandemataram & Yoga and of course mudslinging on congress which anyway it rightly deserves.
So native Kannadigas reject the three parties BJP, Cong & Jd-S and
and bring a Kannada party to power or follow the crowd like fools
and dig your own grave. Ignore all the posts of migrants & traitors .
No Unemployment and Farmers suicide in BJP ruled states.
infants,Mothers,Women,Girls, Pregnant women are being Raped, burnt and killed alive. and you are talking about women safety.
Protection of wives is also a key issue.
You said truth but a small correction needed. These are the key issues to highlight only for election..
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