by Harish Gupta, National Editor, Lokmat Group
The document showed that Maharashtra contributed Rs 3.14 lakh crores in the central kitty by way of taxes during 2016-17. But the Centre gave it back only Rs 33714 crores. In fact, Maharashtra is the largest earning state for the country year after year and contributed Rs 8.78 lakh crores during 2014-15, 2015-16 and 2016-17. But it got Rs 79421 crores only during this period which is not even 10% of what it contributed in the Central kitty. Though Maharashtra's own population grew by 123% between 1971-2011 period as per the census. Yet it was given back less than 10% of money it earned while states like UP & Bihar thrived.
Exclusive report
How Maharashtra gets a raw deal from Centre
Contributed Rs 8.78 lakh crores, got less than 10% funds
Southern states also seeking justice as UP, Bihar reaping harvest
Harish Gupta
New Delhi, April 24
It has now surfaced how revenue earning states like Maharashtra, Karnataka, Tamil Nadu, Andhra Pradesh etc are paying a heavy price as they are forced to feed those states who have grown in population.
The document showed that Maharashtra contributed Rs 3.14 lakh crores in the central kitty by way of taxes during 2016-17. But the Centre gave it back only Rs 33714 crores. In fact, Maharashtra is the largest earning state for the country year after year and contributed Rs 8.78 lakh crores during 2014-15, 2015-16 and 2016-17. But it got Rs 79421 crores only during this period which is not even 10% of what it contributed in the Central kitty. Though Maharashtra's own population grew by 123% between 1971-2011 period as per the census. Yet it was given back less than 10% of money it earned while states like UP & Bihar thrived.
The documents show that U P which contributed to the central kitty Rs 81459 crores by way of taxes during the three year period from 2014-15 to 2016-17. But the state was given back Rs 2.67 lakh crores which was more than three times. The UP's population grew by 138% between the 1971-2011 period. But the difference between the allocation of funds to Maharashtra and UP was only to be seen to be believed.
The document made a shocking revelation that Bihar contributed only Rs 16469 crores during 2014-15, 2015-16 & 2016-17 but it got 10 times the money during the same period. Bihar got Rs1.45 lakh crores for its development from the central kitty. Surprisingly, Bihar is clamouring for being granted the status of a backward state and wanting huge funds for development. This is despite the fact that lakhs of farmers have committed suicide in Maharashtra largely because the formula for distribution of resources has made the state suffer most. Maharashtra is the worst sufferer as the document showed because despite a population growth of 123%, its share is not even 10% of revenue what it contributes year after year.
The plight of other states as given in the table is an eye-opener. Be it Tamil Nadu, Andhra Pradesh or Karnataka, they all are suffering to feed the laggards.
Of course, the new Finance Commission may re-look at the distribution of resources as there is a growing demand that some north Indian states must check population growth.
Minister of State in the Finance Ministry Shiv Pratap Shukla while tabling the document in Parliament said the central taxes and duties are released to states as per the recommendations of the Finance commission. He wouldn't say any thing more on the issue.
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