On Tuesday, Chief Minister Siddaramaiaha with the Minister of Finance of the Union Nirmala Sitharaman in Nový Delhi. | Photographic credit:
On Tuesday, he urged the center to adopt access to growth in tax decentralization between States 16. The Financial Commission, and on Tuesday, Chief Minister Siddaramaiah emphasized the evolutionary challenges in the Carnation.
During his meeting with the Minister of Finance, Nirmal Sitharaman in Delhi on Tuesday, the Minister emphasized the developmental challenges in Bengalur, Kalyan Karnataka and Malnad regions and claimed that fair and accelerate the growth of the state.
Special grants
The state was looking for special grants because it requires that it requires capital work to require capital work of 1.15 GBP, while for the Malnad region they were affected by floods. The state was also looking for grants to the Kalyana Karnataka region, which is covered by Article 371 J providing special status, but has to raise money from the center.
He claims that Karnataka lost a total of 80 000 GBP in the period. The Chief Minister said that the share of Karnataka in tax decentralization fell from 4.713% to 3.647%, while the state was not assigned 11,495 GBP Crore of crore of special grants. The main reason, as he stressed, was the excessive reliance on the income distance criterion, which gained 45% of the weight for the 15th FC. “The state government applied for 16. FC that the weight for income distance should be reduced by 20 percentage points and redistributed to a fiscal contribution, which is the share of the state in national GDP,” he said.
The main minister told reporters in Delhi that his meeting with the Minister of Finance was followed by his earlier meeting with Chairman and Members of 16. He said that another memorandum was submitted. “The Karnataka population accounts for 5% of the country’s population, but the state contributes 8.7% to GDP, which is third in the country. In the GST collection we are second in the country.”
Grants with an income deficit
Karnataka also asked the Center to interrupt their income deficit in their current format because they are against the principles of fiscal disciplines, as designed in fiscal liability and budget management. The state suggested that the same amount – which was 1.92% of the income from the gross department within the 15th FC – should be redistributed between all states using the horizontal decentralization formula. The main minister said, “To Kerala and Tamil Nadu, grants for deficits were also provided. Give it to all states or remove them.”
Published – June 24, 2025 21:26