TN Guv's address picks holes in Centre's GST fund allocation
Governor Banwarilal Purohit on Monday picked holes in the 14th Finance Commission's devolution formula to say that it resulted in a net loss of Rs 4,073 crore to Tamil Nadu and urged the Centre to release that sum.
In his address to the Assembly, Purohit said there has been a diminution in the overall flow of Central funds to Tamil Nadu, adding that the State faced a very severe adverse impact due to the horizontal distribution formula of the 14th Finance Commission.
The State eagerly awaited the 15th Finance Commission recommendations and the government "is hopeful of a fair and equitable distribution of resources, which rewards efficiency and performance," he said.
This year, Tamil Nadu has so far received Rs 7,096 crore as GST compensation and Central grants of Rs 17,957.31 crore.
However, a few outstanding issues in the release of dues to Tamil Nadu were being followed up closely, he said.
Citing the GST, he said in 2017-18, the first year of its implementation, ...