Centre’s bias on tax devolution flagged

However, there was uproar over Southern States, especially Telangana, getting lesser share, while the northern States such as Uttar Pradesh benefitting immensely.

Hyderabad: The Centre’s discrimination towards Telangana came to the fore again and this time in tax devolution. On Monday, the BJP-led NDA government released a Rs 1,39,750-crore installment of tax devolution to States.

However, there was uproar over Southern States, especially Telangana, getting lesser share, while the northern States such as Uttar Pradesh benefitting immensely.

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Despite South India contributing the most in taxes, UP alone receives Rs 25,069 crore in devolution from Central taxes.

This amount is more than the combined total received by Telangana (Rs 2,937 crore), AP (Rs 5,655 crore), Kerala (Rs 2,690 crore), Karnataka (Rs 5,096 crore) and Tamil Nadu (Rs 5,700 crore), Nayini Anurag, an entrepreneur, posted on X.

“When One State, contributing less receives more than all the States of South India combined, should not we address this flawed system,” he asked.