Union Government Releases ₹1.01 Lakh Crore Advance Tax to States Ahead of Festive Season
To support festive season spending and state development, the Union Government has released ₹1.01 lakh crore to states as an advance tax devolution on 1st October 2025.
Key Highlights:
- Purpose: Help states accelerate capital spending and fund development & welfare programs.
- Total Release: ₹1,01,603 crore in advance, besides the normal monthly allocation due on 10th October.
- The Union Government has given an advance tax fund to states to help them spend more on development projects and welfare programs, especially ahead of the festive season.
- Top States Receiving Funds:
- Uttar Pradesh: ₹18,227 crore
- Bihar: ₹10,219 crore
- Madhya Pradesh: ₹7,976 crore
- West Bengal: ₹7,644 crore
- Maharashtra: ₹6,418 crore
- Smallest Allocation: Goa – ₹392 crore.
- Impact:
This advance fund release ensures that all states have money ready to support festive season activities, ongoing development projects, and welfare initiatives without waiting for the regular monthly allocation
State-Wise Tax Devolution (₹ Crore)
| S. No. | State | Amount (₹ Cr) |
|---|---|---|
| 1 | ANDHRA PRADESH | 4,112 |
| 2 | ARUNACHAL PRADESH | 1,785 |
| 3 | ASSAM | 3,178 |
| 4 | BIHAR | 10,219 |
| 5 | CHHATTISGARH | 3,462 |
| 6 | GOA | 392 |
| 7 | GUJARAT | 3,534 |
| 8 | HARYANA | 1,111 |
| 9 | HIMACHAL PRADESH | 843 |
| 10 | JHARKHAND | 3,360 |
| 11 | KARNATAKA | 3,705 |
| 12 | KERALA | 1,956 |
| 13 | MADHYA PRADESH | 7,976 |
| 14 | MAHARASHTRA | 6,418 |
| 15 | MANIPUR | 727 |
| 16 | MEGHALAYA | 779 |
| 17 | MIZORAM | 508 |
| 18 | NAGALAND | 578 |
| 19 | ODISHA | 4,601 |
| 20 | PUNJAB | 1,836 |
| 21 | RAJASTHAN | 6,123 |
| 22 | SIKKIM | 394 |
| 23 | TAMIL NADU | 4,144 |
| 24 | TELANGANA | 2,136 |
| 25 | TRIPURA | 719 |
| 26 | UTTAR PRADESH | 18,227 |
| 27 | UTTARAKHAND | 1,136 |
| 28 | WEST BENGAL | 7,644 |
This advance release ensures states have the funds to meet festive season needs and continue their development and welfare work without delay.
Source : Ministry of Finance , PIB
