Panagariya chairs first meeting of 16th Finance Commission
- Recently, the 16th Finance Commission (XVI-FC) convened its inaugural meeting under the Chairmanship of Arvind Panagariya.
Terms of Reference (ToR)
- During the meeting, it discussed its Terms of Reference, as per the order by the President of India and notified by the Ministry of Finance.
- Terms of Reference (ToR) approved by the Cabinet
- The distribution between the Union and states of the net proceeds of taxes
- Which are to be, or may be, divided between them under Chapter I, Part XII of the Constitution
- The allocation between states of the respective shares of such proceeds
- The distribution between the Union and states of the net proceeds of taxes
- Other Terms of Reference (ToR): The principles governing
- The grant in-aid of the revenues of states out of the Consolidated Fund of India
- The sums to be paid to states by way of grants-in-aid of their revenues.
- Suggest measures needed to augment the Consolidated Fund of a State to supplement the resources of panchayats and municipalities as per ToR.
Prelims Takeaway
- Finance Commission
- Terms of Reference (ToR)
- Consolidated Fund of India