GG News Bureau
Thiruvananthapuram, 12th Sept. Kerala Chief Minister Pinarayi Vijayan has raised concerns over the increasing trend of cesses and surcharges imposed by the Central Government, which he claims is leading to a reduction in the states’ share of the tax pool.
Speaking at a conclave organized by Kerala with five non-BJP-ruled states, Vijayan highlighted the issue during discussions on the 16th Finance Commission.
Vijayan pointed out that the rise in surcharges and cesses—funds not included in the divisive tax pool—coincides with recommendations from the Finance Commission for a greater share of the tax proceeds for states.
He urged the 16th Finance Commission to account for these rising trends when determining state shares from the central tax collection.
The Chief Minister advocated for an increase in the states’ share from the current 41 percent recommended by the previous Finance Commission, proposing an elevation to 50 percent.
He emphasized the need for a unified and concrete demand from the states to strengthen their case before the Finance Commission, aiming to address the growing fiscal imbalance between the Union and the states.
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