Every political system needs to be well-functioning and smooth-running in order to progress. Federalism is one means to achieve this as it distributes the political powers of a nation among national and regional governments, which makes the governing of vast nations feasible. India can neither be termed as a federal or unitary state because our founding fathers chose the mid path and incorporated a few features of unitary as well as some from a federal form of government. This has led the relations between the centre and states to be deteriorating, as states have been demanding a structural change in the provisions of the Constitution. After 2014, our 14th Prime Minister Narendra Modi, who seems to have brought back the one-party dominant system in India after two continuous major wins in Lok Sabha elections, has led many significant changes through his inclusive policies which follow the motto of "Sabka Saath, Sabka Vikaas"such as replacing the Planning Commission with NITI Aayog and talk about a Cooperative Federalism. Despite these efforts, we can witness a competitive and asymmetrical type of federalism prevailing in India due to the heated disputes between central and state governments. This article is based on secondary data and analytical and descriptive methods are used. In this paper we will analyse the nature of Indian federalism as well as it deals with the study of the dynamics of Indian federalism in the post 2014 era and analyses of the challenges to it.