TN CM suggests revenue from indirect taxes be given to states

The Tamil Nadu government today
He further said, "alternatively, the power of collection and appropriation of personal income tax can be vested with the states as this would take care of growing needs of the states to implement development programmes."
On devolution of taxes, Palaniswami sought to draw Modi's attention to the "unfair treatment meted out to Tamil Nadu by successive Finance Commissions."
While the 14th Finance Commission increased overall devolution of taxes to states from 32 per cent to 42 per cent, "it reduced inter-se share of Tamil Nadu in the divisible pool from 4.969 per cent to 4.023 per cent."

The Chief Minister also reiterated the state's demand on revising certain Terms of Reference (Tor) in the 15th Finance Commission, saying "some of them are not in line with the principles of federalism enshrined in our Constitution and have to be reconsidered."