This special issue on the report of the thirteenth finance commission has eight experts evaluating its recommendations from different perspectives. Dec 02, 20 major recommendations of th finance commission the share of states in the net proceeds of the shareable central taxes should be 32%. The thirteenth finance commission of india was constituted by the president of india under the chairmanship of vijay l. Government has accepted fcs recommendation to increase the devolution of tax receipts from the centre to the states to 42 percent. While acknowledging the many plus points of the report, the writers also draw attention to its numerous drawbacks, ranging from a lack of proper attention and omissions to faulty logic.
The government today said the terms of reference of the 14th finance commission along with the name of its chairman will be notified soon. After effecting these transfers, the centres accounit was in deficit in four out of five years during 199095 table 5. The commission recommended that each state be given a share as specified the net proceeds of all shareable union taxes and duties except the expenditure tax and service tax. Union government has accepted recommendations of the 14th finance commission fc as per its agenda of cooperative federalism. Aug 05, 2015 the 14th finance commission report has been accepted by the center,the report has been tabled today and it recommended that the center transfer 42% of divisible pool to the states, including taxes and grants the th finance commission had suggested it a 39. Introduction the fourteenth finance commission ffc was constituted by the president on january 2, 20 to give recommendations on specified aspects of centre state fiscal relations during 201520. Compared with the devolutions in 201415 the devolution of the states in 201516 will increase by over 45%. Thirteenth finance commission economic and political. This note presents an overview of the changes to the fiscal architecture in india over the past year, as well as those anticipated in the near future. The first finance commission was established by the president of india in 1951 under article 280of the indian constitution. Report of the task force on gst th finance commission. Its report, based on the recommendations of a task force constituted to study the issue, recommends a highly uniform and centralised format that does not adequately recognise a tax reform exercise in a multilevel fiscal system that involves compromises.
Explore th finance commission profile at times of india for photos, videos and latest news of th finance. Rajan kumar gupta md nazim khan tanmaya kundu bhaskar md. Get complete information on twelfth finance commission of india. Article 280 of the constitution of india provides for a finance commission as a quasijudicial body. The commission submitted its report to the president on 30th december 2009 covering all aspects of its mandate composition. Recommendations for 14th finance commission given below is a summary list of recommendations which we believe are worthy of consideration for inclusion in the report of the 14th finance commission fc. Mar 12, 2018 the government today said the terms of reference of the 14th finance commission along with the name of its chairman will be notified soon.
Rangrajan was appointed on november 1, 2002, to make recommendations regarding the distribution between the union and the states of net proceeds of shareable taxes, the principles which should govern the grantsinaid of the revenues of states from the consolidated fund of india, and the measures needed to augment the. As per the terms of reference they are to perform 3 different types of tasks. The fourteenth finance commission fcxiv was constituted by the president under article 280 of the constitution on 2 january 20 to make recommendations for the period 2015 20. Public notice issued by 14th finance commission wbxpress. The th finance commission has forayed into a number of areas partly. The first report, consisting of recommendations for the financial year 202021, was tabled in parliament. The twelfth finance commission tfc under the chairmanship of dr. Finance commission, the hpec report on indian urban infrastructure and services, and an adbsponsored study footnoted here, shows that 4 see government of india.
The finance commissions most telling role, as readers may recall, is to come up with the ratio. Pdf critically appraising the recommendations of the thirteenth finance commission, this paper points out that despite some tinkering with one of the. Fourteenth finance commission ffc for rural and urban local bodies local bodies grant. About finance commission the finance commission of india came into existence in 1951. Ravindra, former chief secretary and former deputy chairman of the state planning board, sri haranahalli ramaswamy, chairman of the. The th fc was constituted by the president under article 280 of the indian constitution on th november 2007 under dr. Download complete local bodies statements finance commission india. Surendranath, chairman, second state finance commission, sri m. Who is the chairman of th finance commission answers.
Review and outcomes the 14th finance commission ffc was constituted on 2nd january, 20 and submitted its report on 15th december, 2014. Nov 30, 2015 14th finance commission of india the fourteenth finance commission fcxiv was constituted by the president on 2 january 20 to make recommendations for the period 201520. The 15th finance commission was constituted late last year under the chairmanship of n. The government is in the process of constituting the 14th fin.
It was formed to define the financial relations between the centre and the state. Utilisation of grants released by the th finance commission general guidelines. Who is the chairman of th finance commission constituted in 2007 answer this multiple choice objective question and get explanation and result. Mar 04, 2010 th finance commission the th fc was constituted by the president under article 280 of the indian constitution on th november 2007 under dr. All you need to know about finance commission the hindu.
The 15th finance commission may split open demographic. Report of the thirteenth finance commission 20102015. Vijay kelker to give recommendations on specified aspects of centre state fiscal relations during 201015. Conundrum of conditionalities article pdf available in economic and political weekly xiv48. New delhi 110016 content owned by finance commisssion of india. Its primary job is to recommend measures and methods on. Tables 5 and 6 bring out tihe impact of finance comrmission transfers on the nonplan revenue accounts at the two levels. Its primary job is to recommend measures and methods on how revenues need to be distributed between the centre.
The report of the th finance commission, is perhaps more comprehensive. It is being developed with an objective to enable a single window access to information and eservices provided by the department. On 5th december 2014, the 14th finance commission presented its report to the union government. The thirteenth finance commission was required to look into the revenue impact of the introduction of the goods and services tax. Vitta ayoga was established by the president of india in 1951 under article 280 of the indian constitution. Report of the fourteenth finance commission 20152020. Its main work is to give recommendations on distribution of central tax revenues between the union and the states. In pursuance of the provisions of article 280 of the constitution of india, and of the finance commission. Data for percentage share for certain states is bihar14. Thirteenth finance commission to bihar recommended actual transfers devolution of central tax grantsinaid total devolution of central tax grantsinaid total total eighth finance commission 1984 89 4005.
This portal belongs to department of commercial taxes portal,state government of jharkhand, india. Approach to the finance of municipalities ministry of housing and. The government of india, with the approval president of india, has constituted fifteenth finance commission. The 14 th finance commission has submitted its report to the president pranab mukherjee. Explore th finance commission profile at times of india for. The 15th finance commission and its discontents the.
Nov 27, 2010 this special issue on the report of the thirteenth finance commission has eight experts evaluating its recommendations from different perspectives. Recommendations of thirteenth finance commission international. The finance commission of india came into existence in 1951. Performance audit of ulbs on financial and performance reporting i. When the thirteenth finance commission was formed in 2008, the. The finance commission miscellaneous provisions act, 1951 additionally defines the terms of qualification, appointment and. The th finance commission have recommended for allocation of funds to the pris in orissa in the following proportion grants recommended by finance commission for rural local bodies of orissa 201011 241. In the unlikely event that a consensus with regard to implementing all the elements of the grand bargain cannot be achieved and the gst mechanism finally adopted is different.
Its report, based on the recommendations of a task force constituted to study the issue, recommends a highly uniform and centralised format that does not adequately recognise a tax reform exercise in a multilevel fiscal system that involves compromises and tradeoffs. Recommendations of the 14th finance commission the hindu. Sir, the recommendation of fourteenth finance commission for the award period 201520 include, interalia, release of grantinaid to state governments for rural and urban local bodies. The 15th finance commission may split open demographic fault. Who is the chairman of th finance commission answers with. Madamsir, the finance commission is being setup every five years by government of india to discharge the mandate laid down in articles 270, 275 and 280 of the constitution. The strengthened fc wing in finance department shall monitor the follow up. The commission is headed by former reserve bank of india rbi governor y v reddy.
Highlights of 14th finance commission report february 2015 ficci economic affairs and research division government accepts 14th finance commission recommendation for tax devolution receipts states share in the net proceeds of union tax revenues increased to 42% from 32% earlier. Terms of reference of 14th finance commission soon. It highlights the fact that there has been a serious deterioration in the fiscal situation of. A trustbased approach towards local governments article pdf available april 2015 with 1,760 reads how we measure reads.
Nov 27, 2010 the thirteenth finance commission was required to look into the revenue impact of the introduction of the goods and services tax. It is constituted by the president of india every fifth year or at such earlier time as he considers necessary. The accepted recommendations are for the fiveyear period 201516 to 201920. Report of the 15th finance commission for fy 202021. The finance commission can be constituted at such an earlier time as the president considers necessary. The committee, to be headed by chairman of the fc, nk singh, will recommend a debt and fiscal consolidation roadmap for fy21fy25 for the central government, overall states and general government and attempt building up scenarios for public sector enterprises. Thirteenth finance commission economic and political weekly. Key recommendations of the 14th finance commission i. Towards a new architecture for federal finance, chapter chapter. The fourteenth finance commission was constituted by the president under article 280 of the constitution on jan. Annual report 2016 5 p a g e chairmans message i am pleased to present the annual report of the finance commission, which provides an account of the commissions performance in 2016 across its identified thrust areas.
Thirteenth finance commission revenue, government of india. Tax devolution and grants to bihar as per the recommendations of thirteenth finance commission rs. The th finance commission headed by former finance secretary vijay kelkar had suggested 32% share for the states in the central revenues, but states have been demanding that the resources should. The 14th finance commission had taken the 1971 census as the base with a weightage of 17. Highlights of 14th finance commission report february 2015 ficci economic affairs and research division government accepts 14th finance commission recommendation for tax devolution receipts states share in the net proceeds of union tax revenues increased to. The recommendations for the period from 1st april, 2015 to 31st march, 2020 were presented for discussion on february 24th 2015. The following points highlight the four main recommendations of the eleventh finance commission. I am also grateful to manish gupta for helping me in clarifying certain. Reddy was appointed the chairman of the commission. Get complete information on twelfth finance commission of. Secretary to the ec and chaired by an eminent person with experience in public finance. The thirteenth finance commission submitted its report in. It is a body set up under article 280 of the constitution.
It was established under article 280 of the indian constitution by the president of india. Report summary the finance commission is a constitutional body formed by the president of india to give suggestions on centrestate financial relations. Finance commission is a statuary, independent, semi judicious. It was formed to define the financial relations between the central government of india and the individual state governments. Contents chapter page i introduction 1 5 ii issues and approach 6 17 iii restructuring public finances 18 37 iv assessment of centres resources 38 42. The fourteenth finance commission headed by former rbi governor yv reddy has submitted its report to the president of india. This is the largest ever jump in percentage of devolution. State their position on the terms of reference as set out for the working. Finance commission in its report has given their views on the devolution of tax receipts from the centre to the states from 1st april 2015 to 31st march 2020. A sound system of intergovernmental fiscal transfers constitutes the cornerstone of a strong and stable federal polity. This is a big jump from 32% recommended by the th finance commission and is the largest ever change in the percentage of devolution.
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