THE NATURE OF THE CHANGE 269
estimated by the Government of India [1] plus four crores for the loss of General Stamps, the revenue from which the Committee gave to the Provinces. This amount subject to certain adjustments, [2] which when made resulted in a clear deficit of 9,83.06 lakhs net. In strict adherence to the limiting consideration which it felt bound to respect, the Committee proceeded to fix the following ratios in which each of the nine Provinces were to contribute to make up this amount of 9,83 lakhs in the year 1921-2 :—
I NITIAL C ONTRIBUTIONS (I N L AKHS O F R UPEES )
| Provinces | Increased spending power under new distribution of Revenue | Contributions as recommended by the Committee | Increased spending power left after Contributions are paid |
|---|---|---|---|
| Madras … Bombay … Bengal … United Provinces … Punjab … Burma … Bihar and Orissa … Central Provinces … Assam … Total … | 5,76 93 1,04 3,97 2,89 2,46 51 52 42 | 3,48 56 63 2,40 1,75 64 nil 22 15 | 2,28 37 41 1,57 1,14 1,82 51 30 27 |
| 18,50 | 9,83 | 8,67 |
This ratio of initial contributions was not intended in any manner by the Committee “to represent the ideal scale on which the Provinces should have in equity to be called upon to contribute.” Indeed in making its recommendations as to initial contributions the Committee paid less attention to equity of contributions and more to
“established programmes of taxation and expenditure and
legislative and administrative expectations and habits, that
cannot without serious mischief be suddenly adjusted to a new
1 Recommendations of the Government of India regarding the Demarcation between Central and Provincial Revenues, Cmd. 334 of 1919, Statement III.
2 These adjustments were, with regard to the Military Police Force in Burma, the payment of pensions and leave allowances. Cf. Report of the Financial Relations Committee, para. 10.