Sitharaman clarified that the decision is made based on recommendations of the Finance Commission.
Union Finance Minister Nirmala Sitharaman
Union Finance Minister Nirmala Sitharaman on Monday dismissed Congress’ allegations that the non-BJP states are being deprived of their legitimate tax and GST dues.
Addressing the Lok Sabha, Sitharaman said the allegations levelled by Congress leader Adhir Ranjan Chowdhury were nothing but “politically vitiated narrative” being propagated by people with vested interests.
“There is no way political interests would come on the way of the states getting the funds. It’s a charge that vested interests would like to go around. I don’t have the discretion, it’s the Finance Commission that takes the decision,” Sitharaman said.
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Earlier today, Congress leader Adhir Ranjan Chowdhury accused the government of depriving non-BJP states of legitimate dues and cited the example of Congress-ruled Karnataka.
Responding to his charges, the finance minister said, “Adhir ji, please understand I don’t have the right to change as per my whims and fancies, that I like a state or another state, it is against my party politics. No way, I have no role I would have to follow rules 100 per cent, and that’s what I have done,” Sitharaman responded, as she explained the procedure of how devolution of taxes to the states is decided upon by the Finance Commission.”
She further said that the funds are allocated purely on the basis of Finance Commission recommendations without any fear or favour.
“So this apprehension that some states have been discriminated against is a politically vitiated narrative, which I am sorry to say, vested interests are happy to go about saying it. There is not just a possibility that any finance minister can intervene and say ‘I don’t like this state, stop payment’,” she added.
The clarification comes days after Karnataka Congress MP DK Suresh accused the centre of discriminating towards southern states while allocating funds. He even said that South Indian states would demand a separate nation if this alleged discrimination continued.
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