This is certainly significant in so far as the state law under certain circumstances can prevail over the parliamentary law. Besides the above division of powers, the constitution also provides that three residual powers are also vested in the centre. This division of power makes central very strong. Both the Govt, derive their authority from the people and act actively on the people of India.
The citizens have to obey not only the central law but also the state law. An Indian citizen has to pay taxes direct and indirect to both the govts. Both the govts, demand their royalty. This looks difficult and confusing. Yet in actual practice this has not caused any inconvenience or trouble to the citizens because govts do not overlap.
In fact Articles 245 to 300, deal with administrative legislative and financial relations between the union govt, and state. Demarcation of the boundaries between the two has been done very clearly and minutely.