Indian Polity · Local Self Government
Which of the following statements is most accurate regarding the State Finance Commission?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1It only deals with the finances of Municipalities.
- 2Its recommendations are binding on the State Government.
- 3It is constituted by the President of India.
- 4It recommends principles governing the distribution of taxes between the State and Panchayats/Municipalities.✓
Correct answer
It recommends principles governing the distribution of taxes between the State and Panchayats/Municipalities.
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