The Union Government released an advance tax devolution installment of ₹1,09,019 crore to State Governments on August 1, 2026, which is in addition to the normal monthly devolution scheduled for August 10, 2026. This release is part of the Government of India's commitment to strengthen state finances and accelerate their capital and developmental expenditure.
The state-wise distribution shows Uttar Pradesh received the highest allocation at ₹19,208 crore, followed by Bihar at ₹10,845 crore and Madhya Pradesh at ₹8,010 crore. Other significant allocations include West Bengal (₹7,866 crore), Maharashtra (₹7,022 crore), Rajasthan (₹6,460 crore), and Andhra Pradesh (₹4,597 crore). Medium-sized allocations went to states like Karnataka (₹4,504 crore), Odisha (₹4,819 crore), Gujarat (₹4,094 crore), and Tamil Nadu (₹4,466 crore).
Smaller states received proportionally lower amounts, with Sikkim receiving the smallest allocation of ₹365 crore, followed by Nagaland (₹524 crore), Mizoram (₹615 crore), and Meghalaya (₹688 crore). The distribution covers all 28 Indian states with amounts tailored to their respective shares in the net proceeds of Union taxes and duties.