Indian government releases additional ₹1.09 lakh crore tax devolution to states

Finance Ministry says the advance release, over and above the regular monthly instalment, will help states meet spending and development needs.

The Centre has released an additional ₹1.09 lakh crore in tax devolution to state governments ahead of the regular monthly instalment.Photo:X/FinMinIndia
2 min read  |  Published: 01 Aug 2026

New Delhi:The finance ministry on Saturday said the Union has released additional instalment of tax devolution to state governments amounting to ₹1.09 lakh crore, which is in addition to the normal monthly amount.

Currently, 41 per cent of taxes collected by the Union is devolved in 14 instalments among states during a fiscal year.

👉 Union Government releases tax devolution of ₹1,09,019 crore to State Governments, as one advance instalment to accelerate their capital and developmental expenditureRead more ➡️ https://t.co/9ZENjsLdnj pic.twitter.com/qE0JVF9jd9

"The Union government has released additional instalment of tax devolution to state governments amounting to ₹1,09,019 crore on 1st August 2026, which is in addition to the normal monthly devolution to be released on 10th August 2026," the ministry said in a statement.

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