The Sixteenth Finance Commission has kept States’ share of central taxes at 41%, ignoring widespread demands for a higher devolution amid a shrinking divisible pool caused by the Centre’s rising use of cesses and surcharges. With 18 States seeking a 50% share and most others pushing for at least 45%, the unchanged rate raises concerns over whether the Commission has favoured the Centre’s fiscal preferences over strengthening cooperative federalism. Presented by Vignesh Radhakrishnan Edited by Sambavi Parthasarathy Camera by Johaan Sathyadas

Source: The Hindu February 10, 2026 08:36 UTC