The Government has increased the share of States in Central Taxes. It has accepted the recommendations of the 14th Finance Commission to enhance the share of States in the divisible poor of central taxes and duties from 32 per cent to 42 per cent.

 The total amount of ₹ 523958.24 crore has been allocated to the States in the Budget Estimates for the fiscal year 2015-16.

 The Government has also accepted the horizontal distribution of total devolution of States as recommended by the 14th Finance Commission and accordingly allocation to the States would be made in the award period (2015-20).

 This was stated by Shri Jayant Sinha, Minister of State in Ministry of Finance in written reply to a question in the Lok Sabha today.

Enhanced State share in central taxes; horizontal devolution accepted per finance commission recommendations, altering intergovernmental fiscal transfers. Acceptance of the 14th Finance Commission recommendations increases the State Share in Central Taxes, with the Government adopting the Commission's horizontal devolution formula to allocate the total devolved amount among States and reflecting a specified aggregate allocation in the Union Budget estimates for the fiscal year.