Centre advances ₹1.09 lakh crore tax devolution to states for November
The Finance Ministry released the monthly instalment five days early to help states manage festive season spending and capital expenditure.
The Union Government released an advance tax devolution of ₹1,09,019 crore to state governments on Thursday, November 5, 2026, according to reports by The Hindu and Business Standard. The Finance Ministry stated that the monthly instalment, which is typically issued on November 10, was moved forward due to the upcoming festive season.
The early release aims to allow states to speed up capital spending and fund development and welfare-related expenses. The Centre generally transfers the states' share of central taxes through monthly instalments, though it occasionally releases two in a single month.
Under the recommendations of the Sixteenth Finance Commission, the Centre shares 41 per cent of the divisible pool of central taxes with the states. For the full 2026-27 financial year, the government has estimated the states' share of central taxes at ₹15.26 trillion in the Budget.
Uttar Pradesh received the highest portion of the Thursday release at ₹19,208 crore. Other major recipients included Bihar at ₹10,845 crore, Madhya Pradesh at ₹8,010 crore, West Bengal at ₹7,866 crore, and Maharashtra at ₹7,022 crore.
Additional allocations were made to Rajasthan at ₹6,460 crore, Odisha at ₹4,819 crore, Andhra Pradesh at ₹4,597 crore, Karnataka at ₹4,504 crore, and Tamil Nadu at ₹4,466 crore. Cumulative tax devolution to states in the first half of the 2026-27 financial year reached nearly ₹7 trillion, per data from the Controller General of Accounts (CGA).