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Ministry of Finance

Union Government releases tax devolution of ₹1,09,019 crore to State Governments, as one advance instalment to accelerate their capital and developmental expenditure

MainsGS2GS3GovernanceEconomy
Source-grounded summary

On 1 August 2026 the Union Government released an additional instalment of tax devolution amounting to ₹1,09,019 crore to State Governments, supplementing the regular monthly devolution scheduled for 10 August 2026. The release is presented as a commitment to strengthen state finances and accelerate capital and developmental expenditure. A state‑wise table lists the net proceeds of Union taxes and duties for August 2026, with Uttar Pradesh receiving the highest share (₹19,208 crore) and Sikkim the lowest (₹365 crore).

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