Pralhad Joshi has vehemently criticized Karnataka Chief Minister Siddaramaiah’s accusations regarding reduced tax devolution share by the Centre, labeling them as “unfounded” and driven by political motives.
Joshi, addressing the media on Tuesday, asserted that Siddaramaiah’s claims lacked solid grounds and were indicative of playing “dirty politics.” He emphasized that the Karnataka CM, having presented numerous state budgets, should possess a comprehensive understanding of public finances. Joshi reiterated that states receive 100 per cent of their State Goods and Services Tax (SGST) and approximately 50 per cent of the Integrated Goods and Services Tax (IGST) collected within the state.
Furthermore, Joshi clarified that the 15th Finance Commission did not recommend a Special Grant for any state, making it baseless to reject any such recommendation. He highlighted that substantial grants, including interest-free loans for capital expenditure plans, had been provided to Karnataka, amounting to Rs 2.08 lakh crore over nine years under the NDA government, marking a significant increase compared to the UPA era.
The Union Minister accused the Karnataka Congress of attempting to shift blame onto the Central Government due to their inability to fulfill unsustainable promises made during state elections. Joshi expressed confidence that the public would not be misled by such tactics, citing admissions from the Deputy CM regarding developmental challenges and the economic burden posed by the state government’s commitments.
Responding to Siddaramaiah’s call for protests against the alleged economic oppression by the central government, Joshi urged the public to remain discerning and focus on the real issues affecting the state. He emphasized that the planned protest was not directed against any specific party but aimed at advocating for the state’s rights.
Earlier, Congress leader Adhir Ranjan Chowdhury had echoed similar sentiments, alleging that non-BJP states, including Congress-ruled Karnataka, were being deprived of their legitimate dues. However, Union Finance Minister Nirmala Sitharaman dismissed these allegations as politically motivated, emphasizing the adherence to established rules and procedures in tax devolution.
As tensions escalate between the Karnataka government and the Centre over fiscal policies, the focus remains on whether political rhetoric will overshadow the substantive issues concerning the state’s economic welfare.