Tax devolution: Even as Karnataka cries foul, here are numbers on how much state pays, gets back in return

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Published February 5, 2024 at 2:02pm

Update February 5, 2024 at 2:25pm

    Karnataka cries foul over centre resorting to reduced tax devolution

    CM Siddaramaiah laments centre’s step-motherly attitude towards state

    Here are statistics that throw more light on the issue

Karnataka, specifically and South India in general are crying foul over centre resorting to a reduced tax devolution. Earlier in the day, Chief Minister Siddaramaiah held a press conference lamenting the centre’s step-motherly attitude towards Karnataka. Even as the allegations are raised, here are statistics that throw more light on the issue.

Subject Details of Taxes, Cesses among other things Karnataka is paying centre Amount centre is paying back to Karnataka
Income Tax and Corporate Tax For 2023-24, the tax target set is Rs 2.23 Lakh Crore It is expected that Rs 37,252 Crore will be returned.

 

For central schemes, Rs 13,005 crores expected.

 

Rs 50,257 crores expected

GST Approximation: Rs 1.40 Lakh Crore

Only 52% is returned to the government

Surcharge on Petrol, Diesel, Aircraft Fuel Rs 26000 to Rs 30,000 Crore
Customs Rs 30,000 Crore set
GST Cess Rs 16,000 Crore  
Highway Toll Rs 3,000 Crore  
Ports, Railways, Airports Rs 20,000 Crore  
Overall, the Centre gets Rs 4 Lakh Crore from Karnataka. But, Karnataka gets back only Rs 53,000 crore. So, for every Rs 100 paid, Karnataka is getting only Rs 13.

 

Budgetary allocations over the last few years:

Year Total Budget Outlay Taxes Collected Central Scheme Grants Total  
2018-19 Rs 24,42,213 Crores Rs 35,895 Crores Rs 10,383 Crores  

Rs 46,288 Crores

 
2019-20 Rs 27,86,349 Crores Rs 30,919 Crores Rs 12,404 Crores Rs 43,323 Crores  
2020-21 Rs 30,42,243 Crores Rs 21,694 Crores Rs 10,040 Crores Rs 31,734 Crores  
2021-22 Rs 34,83,236 Crores Rs 33,283 Crores Rs 15,306 Crores Rs 48,589 Crores  
2022-23 Rs 41,87,232 Crores Rs 34,596 Crores Rs 18,914 Crores Rs 53,510 Crores  
2023-24 Rs 45,03,097 Crores Centre promised to pay Rs 37,252 Crores Centre promised to pay Rs 13,005 Crores Rs 50,257 Crores Till November 2023, money returned is Rs 32,277 Crores

 

Tax devolution: Even as Karnataka cries foul, here are numbers on how much state pays, gets back in return

https://newsfirstprime.com/wp-content/uploads/2024/02/Siddu-Sitharaman.jpg

    Karnataka cries foul over centre resorting to reduced tax devolution

    CM Siddaramaiah laments centre’s step-motherly attitude towards state

    Here are statistics that throw more light on the issue

Karnataka, specifically and South India in general are crying foul over centre resorting to a reduced tax devolution. Earlier in the day, Chief Minister Siddaramaiah held a press conference lamenting the centre’s step-motherly attitude towards Karnataka. Even as the allegations are raised, here are statistics that throw more light on the issue.

Subject Details of Taxes, Cesses among other things Karnataka is paying centre Amount centre is paying back to Karnataka
Income Tax and Corporate Tax For 2023-24, the tax target set is Rs 2.23 Lakh Crore It is expected that Rs 37,252 Crore will be returned.

 

For central schemes, Rs 13,005 crores expected.

 

Rs 50,257 crores expected

GST Approximation: Rs 1.40 Lakh Crore

Only 52% is returned to the government

Surcharge on Petrol, Diesel, Aircraft Fuel Rs 26000 to Rs 30,000 Crore
Customs Rs 30,000 Crore set
GST Cess Rs 16,000 Crore  
Highway Toll Rs 3,000 Crore  
Ports, Railways, Airports Rs 20,000 Crore  
Overall, the Centre gets Rs 4 Lakh Crore from Karnataka. But, Karnataka gets back only Rs 53,000 crore. So, for every Rs 100 paid, Karnataka is getting only Rs 13.

 

Budgetary allocations over the last few years:

Year Total Budget Outlay Taxes Collected Central Scheme Grants Total  
2018-19 Rs 24,42,213 Crores Rs 35,895 Crores Rs 10,383 Crores  

Rs 46,288 Crores

 
2019-20 Rs 27,86,349 Crores Rs 30,919 Crores Rs 12,404 Crores Rs 43,323 Crores  
2020-21 Rs 30,42,243 Crores Rs 21,694 Crores Rs 10,040 Crores Rs 31,734 Crores  
2021-22 Rs 34,83,236 Crores Rs 33,283 Crores Rs 15,306 Crores Rs 48,589 Crores  
2022-23 Rs 41,87,232 Crores Rs 34,596 Crores Rs 18,914 Crores Rs 53,510 Crores  
2023-24 Rs 45,03,097 Crores Centre promised to pay Rs 37,252 Crores Centre promised to pay Rs 13,005 Crores Rs 50,257 Crores Till November 2023, money returned is Rs 32,277 Crores

 

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