Indian Polity · Local Self Government
Which of the following statements is correct regarding the Finance Commission constituted under Article 280 of the Constitution?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1D) It only suggests the financial requirements for the Union Government.
- 2C) It also recommends the principles governing the grants-in-aid to the local bodies out of the Consolidated Fund of a State.✓
- 3B) It recommends measures to augment the Consolidated Fund of the States only.
- 4A) It recommends distribution of taxes between the Union and the States only.
Correct answer
C) It also recommends the principles governing the grants-in-aid to the local bodies out of the Consolidated Fund of a State.
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