The Congress on Monday slammed the Center after it approved tax devolution to states for June and said it was “third-class PR” trying to portray what is rightfully due to states as “prasad”.

The Center on Monday approved tax devolution of Rs 1,39,750 crore to states for June.

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It was decided that in addition to the regular release of the decentralization amount for June 2024, one additional installment will be paid – the Ministry of Finance said in a press release.

Congress general secretary Jairam Ramesh said, “The finance ministry has just announced what is being billed as a major tax devolution to the states. “This was undoubtedly done on the orders of ‘one-third’ of the Prime Minister.”

“The decentralization of taxes to states is not a special favor performed by people of non-biological origin. These are constitutional powers defined by the Finance Commission,” Ramesh stated in a post on the X website.

“This is third-rate PR trying to portray what is legally due to the states as distribution of prasad,” he said.

Currently, 41 per cent of taxes collected by the Center is distributed in 14 installments among states during the fiscal year.

With this release, the total amount released to states (for FY 2024-25) till June 10, 2024 will be Rs 2,79,500 crore, she added.