The Union government has transferred an additional ₹1,09,019 crore to state governments as a tax devolution instalment, the finance ministry said on 31 October 2026.
This payment is over and above the routine monthly share of Union taxes and marks the second extra instalment released in the current fiscal year (FY 27).
The Centre said the additional funds would enable state governments to accelerate capital expenditure and finance development and welfare-related spending. The release ahead of the festive season is also intended to provide states with greater financial resources to meet their expenditure commitments.
Among the recipients, Uttar Pradesh received the largest share at ₹19,208 crore, followed by Bihar with ₹10,845 crore and Madhya Pradesh at ₹8,010 crore. These three states together account for a substantial portion of the total allocation.
Read Also: India’s pensioners now submit life certificates online via Aadhaar
Other major recipients include Gujarat (₹4,094 crore), Jharkhand (₹3,660 crore), Chhattisgarh (₹3,602 crore), Assam (₹3,552 crore), Kerala (₹2,597 crore) and Telangana (₹2,370 crore).
Further allocations were made to Punjab (₹2,176 crore), Haryana (₹1,484 crore), Arunachal Pradesh (₹1,476 crore), Uttarakhand (₹1,244 crore) and Himachal Pradesh (₹996 crore).
The remaining northeastern states received smaller sums: Tripura (₹699 crore), Meghalaya (₹688 crore), Manipur (₹682 crore), Mizoram (₹615 crore) and Nagaland (₹524 crore). Goa got ₹398 crore and Sikkim ₹365 crore, completing the distribution of the ₹1,09,019 crore instalment.