Tax devolutions: Centre releases Rs 4,721.44 cr to AP

New Delhi: The Union government has released two installments of tax devolutions to AP government amounting to Rs 4,721.44 crore as against a normal monthly devolution of a single installment.

A government press release said here on Wednesday that this was in line with the commitment of the Centre to strengthen the hands of States to accelerate their capital and developmental expenditure.

Similarly, Telangana State got Rs 2,452.32 crore. The Centre has maintained that it is determined to get growth going; besides calling on banks to disburse more loans, the Finance Ministry also incentivised the States to spend more.

Tax devolution has been front-loaded to help the States step up their pace of investments. Typically, the tax devolution to States is done in 14 installments in a year, and adjustments, as per revised estimates, are usually done in March.