Chennai: The DMK has claimed that Tamil Nadu has been receiving the lowest allocations per capita from the Central tax revenue pool and also expressed “grave concerns” about the expansive mandate given to the commission in the second paragraph of the ToR.
In a memorandum submitted to the 15th Finance Commission here on Wednesday, DMK MP T.K.S. Elangovan and P.T.R Palanivel Thiyagarajan, MLA, on behalf of the DMK, said “Tamil Nadu receives among the lowest allocations per capita from the Central tax revenue pool. In a democracy bound to federalism, there must be net transfers from state to state in the interest of inclusive development. We expect that and support the principle and the practice whole-heartedly,” they said.
"Keeping with our president M. K. Stalin’s fundamental concerns of the constitutionality of the terms of reference, we record our grave concerns about the expansive mandate given to the commission in the second paragraph of the ToR. How can an un-elected body such as the finance commission have the power to review the status of finances of duly-elected governments at the Centre and states and recommend a fiscal consolidation roadmap,” the DMK said.
The DMK is deeply concerned that the principle of equity, is not defined broadly enough in the ToR. "The people of Tamil Nadu are second to none in their patriotism, or their desire to contribute to the development of the fellow citizens across the entire country," they said.
CPI (M) raised its objections to a clause in the commission's terms of reference that questioned the necessity of providing revenue deficit grants to the states. The left party, in a memorandum, urged the commission to drop the clause, as it “violated” provisions of the constitution.
