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National
Centre releases Rs 1.92 lakh crore tax devolution ahead of Diwali
✍️ NDTV Profit
🗓 06 Nov 2026, 06:37 AM
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The central government has released a pre-Diwali tax devolution package, with Uttar Pradesh receiving the largest share of Rs 19,208 crore, while Sikkim received Rs 365 crore.
The Union Government has released a significant tranche of tax devolution funds to state governments ahead of the Diwali festival. This financial transfer is intended to support state budgets during the festive season.
According to the state-wise breakup of the release, Uttar Pradesh emerged as the largest beneficiary, receiving an allocation of Rs 19,208 crore. This substantial amount reflects the state's demographic weight and economic contribution to the national tax pool.
At the other end of the spectrum, the state of Sikkim received an allocation of Rs 365 crore. The disparity in amounts across states is standard in tax devolution, as funds are distributed based on population and other constitutional criteria.
This pre-Diwali release is a routine fiscal measure by the Centre to ensure states have adequate liquidity for their expenditure needs during the peak spending period of the year.
According to the state-wise breakup of the release, Uttar Pradesh emerged as the largest beneficiary, receiving an allocation of Rs 19,208 crore. This substantial amount reflects the state's demographic weight and economic contribution to the national tax pool.
At the other end of the spectrum, the state of Sikkim received an allocation of Rs 365 crore. The disparity in amounts across states is standard in tax devolution, as funds are distributed based on population and other constitutional criteria.
This pre-Diwali release is a routine fiscal measure by the Centre to ensure states have adequate liquidity for their expenditure needs during the peak spending period of the year.