5 FEBRUARY 2015 : States will get its due share with 14th FC

Ø India has agreed to share data on nuclear material and equipment to make the U.S. waive its “tracking requirements” on that material. According to sources, this concession was the reason for the “breakthrough” in agreement on the administrative arrangements for the Indo-U.S. civilian nuclear deal.

Ø The 14th Finance Commission has recommended a 42% share of Central tax revenues for States for the period from April 1, 2015, to March 31, 2020. The dissent note has recommended that States share could be 38%. A source close to the panel said that it had not recommended a rise in the Centre’s transfers to the States compared to previous panels. The recommendations of the panels were only for statutory transfers, but the present panel’s recommendation of 42% is for total transfers of funds from the Centre to the States under all heads.