She dropped the trace whereas speaking concerning the distribution of funds to the states by the Centre as per the suggestions of the 14th Finance Fee.
Delivering a lecture on Centre-State relations right here, Sitharaman mentioned Prime Minister Narendra Modi with none hesitation had accepted the advice of 14th Finance Fee in 2014-15 that 42 per cent of all taxes– a rise from 32 per cent until then– needs to be given to the states.
“That Finance Fee mentioned now you elevate it to 42 per cent…which implies that Centre may have a lesser quantity in its hand. Prime Minister Modi, with no second considered it, totally accepted the Finance Fee and that’s the reason in the present day states get 42 per cent of the amount–now diminished by 41 per cent as a result of Jammu and Kashmir is now not a state.
“It would quickly change into could also be someday…,” Sitharaman mentioned in her lecture on “Cooperative Federalism: The Path In the direction of Atma Nirbhar Bharat” organised right here by Bharatiya Vichara Kendram in reminiscence of Sangh idealogue P Parameshwaran.
In August 2019, the central authorities abrogated Article 370 of the Structure, which accorded particular standing to Jammu and Kashmir, and bifurcated the state into Union territories.
