Centre releases additional tax devolution of ₹1.09 lakh crore to states
The Finance Ministry stated the funds aim to help states accelerate capital spending and finance welfare expenditure during the upcoming festive season.
The Union government released an additional instalment of ₹1,09,019 crore in tax devolution to state governments on Saturday, October 31, 2026.
The Finance Ministry said in a statement that this payment is separate from the regular monthly devolution and the second additional instalment for this financial year.
The Ministry stated the release is intended to help states increase capital spending and fund development or welfare-related expenditure during the upcoming festive season.
Currently, the Centre devolves 41 per cent of collected taxes to states through 14 instalments during a fiscal year.