Finance Commission keeps tax devolution for states at 41% in FY22

With grants, the transfer is roughly 50-50 of divisible tax pool between Centre, states; N K Singh says Commission worked without any bias

The 15th finance commission has kept the transfer to states from the divisible tax pool to 41 per cent for 2021-22 to 2025-26. This is the same level as was recommended in its interim report for the current financial year and the previous finance commission report, if reorganisation of Jammu and Kashmir is taken into account. 

It is at the same level of 42 per cent of the divisible pool as recommended by the 14th Finance Commission, the Commission said, adding that however, a required adjustment has been made of "about 1 per cent due to the changed status of