The Finance Ministry has released Rs 4,207 crore as revenue expenditure to Meghalaya for financial year 2020-21.
As per revenue expenditure 2020-21, the shareable pool of taxes and duties of 41 per cent were estimated to be released to the states in the country.
Further, an additional devolution of Rs 344 crore was also released to Meghalaya over revenue expenditure 2020-21.
The overall revenue expenditure released to the State in financial year 2020-21 is Rs 4,552 crore.
The Ministry of Finance has released these amounts to share the revenue buoyancy seen in the fourth quarter of 2020-21.
It may be mentioned that the Finance Ministry released Rs 45,000 crore as additional devolution to states in financial year 2020-21, an increase of 8.2 per cent over revenue expenditure 2020-21.
As per revenue expenditure 2020-21, Rs 5,49,959 crore (41 per cent) of the shareable pool of taxes and duties were estimated to be released to the states.
However, the ministry has devolved an amount of Rs 5,94,996 crore, based on the initial estimates of the shareable pool that would be collected in 2020-21.
The additional amount of Rs 45,000 crore was released in two installments of Rs 14,500 crore and Rs 30,500 crore. Rs 14,500 crore was released along with the 14th regular installment of devolution on March 26, whereas the second installment of Rs 30,500 crore was released to the states on March 31.
The 15th Finance Commission has recommended that states be given 41 per cent of the divisible tax pool of the Centre during the 2020-21 fiscal.
Separately, the Department of Expenditure under the Finance Ministry has released Rs 11,830 crore to the states in the country under the ‘Special Assistance to States for Capital Expenditure’ scheme.
The scheme is aimed at boosting capital expenditure by the state governments who were facing a difficult financial environment in the year 2020-21 due to a shortfall in tax revenue arising from the Covid-19 pandemic.