Finance Minister Smt. Nirmala Sitharaman authorises release of advance installment of tax devolution to State Governments amounting to ₹ 47,541 crore

States receive a total of ₹ 95,082 crore during January 2022

With release of the 2nd advance installment, States receive an additional amount of ₹ 90,082 crore under tax devolution over and above budgeted amount

Union Minister for Finance & Corporate Affairs Smt. Nirmala Sitharaman has authorised the release of an advance installment of tax devolution to State Governments amounting to ₹ 47,541 crore, here today. This is in addition to the regular devolution for the month of January 2022, also being released today.

Thus, States would receive a total of ₹ 95,082 crore or double their respective entitlement during the month of January 2022. State-wise break-up of the amounts being released is appended.

It is pertinent to mention that the Government of India had released the first advance instalment of tax devolution amounting to ₹ 47,541 crore to States on 22^nd November 2021. With the release of the second advance installment today, the States would have received an additional amount of ₹ 90,082 crore under tax devolution over and above what has been budgeted to be released till January, 2022.

It also needs to be noted that release from Government of India of the back-to-back loan amounting to ₹ 1.59 lakh crore to State Governments in lieu of GST Compensation shortfall in FY 2021-22 was completed by the end of October 2021.

This is in line with the commitment of Government of India to strengthen the hands of States to accelerate their capital and developmental expenditure to ameliorate the deleterious effects of CoVID-19 pandemic.

STATEMENT SHOWING STATEWISE DISTRIBUTION OF NET PROCEEDS OF UNION TAXES AND DUTIES FOR JANUARY 2022
Sl. No.	State	Regular monthly installment for Jan 2022	Advance installment in Jan 2022	Total releases in Jan 2022
1	Andhra Pradesh	1,923.98	1,923.98	3,847.96
2	Arunachal Pradesh	835.29	835.29	1,670.58
3	Assam	1,487.08	1,487.08	2,974.16
4	Bihar	4,781.65	4,781.65	9,563.30
5	Chhattisgarh	1,619.77	1,619.77	3,239.54
6	Goa	183.51	183.51	367.02
7	Gujarat	1,653.47	1,653.47	3,306.94
8	Haryana	519.62	519.62	1,039.24
9	Himachal Pradesh	394.58	394.58	789.16
10	Jharkhand	1,572.17	1,572.17	3,144.34
11	Karnataka	1,733.81	1,733.81	3,467.62
12	Kerala	915.19	915.19	1,830.38
13	Madhya Pradesh	3,731.96	3,731.96	7,463.92
14	Maharashtra	3,003.15	3,003.15	6,006.30
15	Manipur	340.40	340.40	680.80
16	Meghalaya	364.64	364.64	729.28
17	Mizoram	237.71	237.71	475.42
18	Nagaland	270.51	270.51	541.02
19	Odisha	2,152.66	2,152.66	4,305.32
20	Punjab	859.08	859.08	1,718.16
21	Rajasthan	2,864.82	2,864.82	5,729.64
22	Sikkim	184.47	184.47	368.94
23	Tamil Nadu	1,939.19	1,939.19	3,878.38
24	Telangana	999.31	999.31	1,998.62
25	Tripura	336.66	336.66	673.32
26	Uttar Pradesh	8,528.33	8,528.33	17,056.66
27	Uttarakhand	531.51	531.51	1,063.02
28	West Bengal	3,576.48	3,576.48	7,152.96
	TOTAL	47,541.00	47,541.00	95,082.00

 

Tax devolution: advance instalment authorised, doubling States' January entitlement to bolster capital and developmental spending. A second advance installment of tax devolution was authorised, matching the regular January monthly devolution so that States receive double their monthly entitlement to bolster immediate liquidity for capital and developmental expenditure related to CoVID-19 response. The release follows a prior identical advance instalment and complements an earlier back-to-back loan made to States in lieu of GST compensation shortfall; a state-wise schedule details regular, advance, and total releases for January.