Centre releases additional ₹1.09 lakh crore tax devolution to states
The Union government issued the funds to support state capital spending and welfare expenditure ahead of the festive season.
The Union government released an additional instalment of tax devolution totalling ₹1,09,019 crore to state governments on Saturday, October 31, 2026, according to The Hindu.
This payment comes alongside the regular monthly devolution and follows a second additional instalment issued during this financial year.
The Finance Ministry stated that the release aims to assist states in accelerating capital spending and financing development or welfare-related expenditure during the upcoming festive season.
Under the current system, 41 per cent of taxes collected by the Centre are distributed to states through 14 instalments during a single fiscal year.