‘Justice for Karnataka – Fair Share, Strong Federalism’ Campaign

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Karnataka Chief Minister Siddaramaiah officially launched a public outreach campaign titled “Justice for Karnataka – Fair Share, Strong Federalism” on January 30, 202
It aims to inform citizens about the state’s financial demands and alleged “injustice” in tax devolution by the Union Government.

Key Campaign Objectives

The campaign focuses on several critical demands placed before the 16th Finance Commission:
Restoration of Tax Share: Reclaiming the state’s share of central tax devolution, which fell from 4.71% to 3.64% under the previous commission, causing an estimated loss of ₹80,000 crore.
Revised Devolution Formula: Correcting “flawed” criteria that penalise development and population control. The state seeks a reduction in income distance weightage from 45% to 25% and a return to using 1971 population data.
Divisible Pool Expansion: Increasing the states’ overall share of divisible taxes to 50% and placing a 5% cap on central cesses and surcharges.
Infrastructure & Regional Support: Seeking ₹1.15 lakh crore for Bengaluru’s infrastructure and a ₹10,000 crore special package for the backward Kalyana Karnataka region.

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