India’s federal structure is based on cooperation between the Centre and States. However, in recent years, many states have raised serious concerns about the Centre allegedly cutting or delaying their funds. States like Punjab, Kerala, West Bengal, and Tamil Nadu — mostly governed by opposition parties — claim they are not receiving their due share of GST compensation, central scheme allocations, and other development grants.

While the Finance Commission recommends how funds should be distributed, the actual disbursal is handled by the Centre, giving rise to allegations of political discrimination. Some states have even approached the Supreme Court, arguing that this practice undermines the spirit of "Cooperative Federalism" enshrined in the Constitution.

The delay or denial of funds not only slows down development but also puts essential services — like healthcare, education, and infrastructure — at risk. Ultimately, it is the common citizens who suffer due to this Centre-State power tussle.