Ranchi: Jharkhand has received Rs 3,660 crore from the Centre as an advance tax devolution instalment, part of a one-time release aimed at helping states accelerate capital expenditure and development works.The Union finance ministry on Saturday announced the release of Rs 1,09,019 crore to states over and above the regular monthly tax devolution due on Aug 10. The ministry said the advance payment was intended to strengthen state finances and enable govts to speed up capital and developmental expenditure.Though the Centre has not earmarked the funds for any particular sector, officials said the additional cash flow could help the state govt fast-track projects awaiting funds. The money could provide liquidity for ongoing works in sectors such as roads, irrigation, rural development, education and health, besides helping the state meet expenditure commitments during the current financial year.The release comes two days after chief minister Hemant Soren wrote to Prime Minister Narendra Modi, citing a shortage of funds for scholarships for SC, ST and OBC students and seeking an increase in the Centre’s share.Among eastern states, Bihar received the highest allocation of Rs 10,845 crore, followed by West Bengal at Rs 7,866 crore, Odisha at Rs 4,819 crore and Jharkhand at Rs 3,660 crore. Uttar Pradesh received the largest share nationally at Rs 19,208 crore.Tax devolution is a key component of revenue, particularly for states such as Jharkhand that depend substantially on central transfers to finance development programmes. Officials said the advance release would improve the state’s cash position ahead of the festive season and facilitate timely payments for ongoing public works.
