U.P. to pitch for larger share of Centre's tax revenue

As the 16th Finance Commission begins its visit to the state from Ayodhya on Tuesday, the Uttar Pradesh government's team is working almost round the clock to make a case for a greater share in the "divisible pool of states" that came down marginally following the 15th Finance Commission's recommendations.

- Umesh Raghuvanshi

LUCKNOW:

The divisible pool refers to the portion of the central government's gross tax revenue that is allocated to states.

Though Uttar Pradesh got the largest share among the states, its share in the divisible pool came down marginally from 17.959% to 17.931% (for 2021-2026) as the 15th Finance Commission recommended the share of states to be 41% (against 42% by the 14th Finance Commission) with an adjustment of 1% made to provide for the then newly formed Union Territories of Jammu and Kashmir and Ladakh from resources of the Centre.

The 16th Finance Commission led by its chairman Arvind Panagariya will arrive in the state capital on Tuesday evening after visiting Ayodhya earlier in the day.

Senior officers are busy giving final touches to the state government's demands to be made to the finance panel for a greater share in central funds.