<p>Hyderabad: Telangana deputy chief minister and finance minister, Mallu Bhatti Vikramarka said that the government has proposed to the 16th finance commission increasing the central tax devolution from the current 41 per cent to 50 per cent. It also highlighted to the Commission that the cess and additional charges imposed by the central government have significantly reduced the revenue allocated to states.</p><p>While presenting the annual budget on Wednesday in the state assembly, Bhatti Vikramarka expressed concern over the declining share of tax devolution for southern states, including Telangana.</p><p>Under the 14th Finance Commission, Telangana received 2.437 per cent of funds, which declined to 2.102 per cent under the 15th Finance Commission. Our government represented that allocating fewer funds to well-performing states is unfair and advocated a more rational tax distribution system that incentivizes states contributing significantly to the nation's economic growth.</p>.Bengaluru: 2 years of unpaid property tax? Expect 100% penalty, 9% interest. <p>He also said that the Telangana government has proposed reforms in the horizontal tax devolution, suggesting a shift away from the current "Per Capita Income Distance" criterion. Instead, it recommended assigning 50 per cent weightage to GSDP (Gross State Domestic Product) to ensure a more equitable allocation of resources for states driving national economic growth. “This proposal aims to promote balanced development by fairly distributing financial resources to high performing states. Telangana remains committed to securing its rightful share, while ensuring the effective utilization of economic resources to strengthen its financial stability and growth,” he said.</p><p>Telangana's economy continued to achieve steady growth, effectively navigating the rapid changes in the global economic landscape. In the financial year 2024-25, Telangana’s Gross State Domestic Product (GSDP) at current prices stands at Rs 16,12,579 crore, registering a growth rate of 10.1 per cent compared to the previous year. During the same period, India's GDP was Rs 3,31,03,215 crore, with a growth rate of 9.9 per cent.</p><p>In the financial year 2024-25, at current prices, Telangana's per capita income stands at Rs 3,79,751, with a growth rate of 9.6 per cent. In comparison, India's per capita income is Rs 2,05,579, with a growth rate of 8.8 per cent. Clearly Telangana’s per capita income is higher by 1.8 times i.e., Rs 1,74,172, said Vikramarka. In 2024-25, Telangana's Gross State Value Added (GSVA) is primarily driven by the service sector, which contributed 66.3 per cent, followed by the agriculture and allied sectors at 17.3 per cent and industrial sector at 16.4 per cent.</p>
<p>Hyderabad: Telangana deputy chief minister and finance minister, Mallu Bhatti Vikramarka said that the government has proposed to the 16th finance commission increasing the central tax devolution from the current 41 per cent to 50 per cent. It also highlighted to the Commission that the cess and additional charges imposed by the central government have significantly reduced the revenue allocated to states.</p><p>While presenting the annual budget on Wednesday in the state assembly, Bhatti Vikramarka expressed concern over the declining share of tax devolution for southern states, including Telangana.</p><p>Under the 14th Finance Commission, Telangana received 2.437 per cent of funds, which declined to 2.102 per cent under the 15th Finance Commission. Our government represented that allocating fewer funds to well-performing states is unfair and advocated a more rational tax distribution system that incentivizes states contributing significantly to the nation's economic growth.</p>.Bengaluru: 2 years of unpaid property tax? Expect 100% penalty, 9% interest. <p>He also said that the Telangana government has proposed reforms in the horizontal tax devolution, suggesting a shift away from the current "Per Capita Income Distance" criterion. Instead, it recommended assigning 50 per cent weightage to GSDP (Gross State Domestic Product) to ensure a more equitable allocation of resources for states driving national economic growth. “This proposal aims to promote balanced development by fairly distributing financial resources to high performing states. Telangana remains committed to securing its rightful share, while ensuring the effective utilization of economic resources to strengthen its financial stability and growth,” he said.</p><p>Telangana's economy continued to achieve steady growth, effectively navigating the rapid changes in the global economic landscape. In the financial year 2024-25, Telangana’s Gross State Domestic Product (GSDP) at current prices stands at Rs 16,12,579 crore, registering a growth rate of 10.1 per cent compared to the previous year. During the same period, India's GDP was Rs 3,31,03,215 crore, with a growth rate of 9.9 per cent.</p><p>In the financial year 2024-25, at current prices, Telangana's per capita income stands at Rs 3,79,751, with a growth rate of 9.6 per cent. In comparison, India's per capita income is Rs 2,05,579, with a growth rate of 8.8 per cent. Clearly Telangana’s per capita income is higher by 1.8 times i.e., Rs 1,74,172, said Vikramarka. In 2024-25, Telangana's Gross State Value Added (GSVA) is primarily driven by the service sector, which contributed 66.3 per cent, followed by the agriculture and allied sectors at 17.3 per cent and industrial sector at 16.4 per cent.</p>