The 14 th finance commission has submitted its report to the president pranab mukherjee. The commission recommends to increase the tax devolution of the divisible pool to states to 42% for years 2015 to 2020. 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. This is the largest ever jump in percentage of devolution. All you need to know about finance commission the hindu. The working group examined two major sources of centertostate flows over time. Nov 30, 2015 the major gainers in per capita terms turn out to be kerala, chhattisgarh and madhya pradesh for gcs and arunachal pradesh, mizoram and sikkim for scs. Dec 16, 2014 the 14th finance commission headed by former rbi governor yv reddy submitted its report to the president of india on 15 december 2014. Therefore, let us go through the important points about 14th finance commission. The finance commission was set by president of india in 1951 under article 280. About finance commission article 270 sharing of central taxesarticle 275 grant in aid of revenues grantinaidstatutory grantsnonplan grants are to be given to the states in need of assistance and the amount of grantinaid and the principles for judging the eligibility of states for these grantsinaid are to be determined by the finance commission. The 14th finance commission reinforced the idea of the th finance commission to reduce or if possible eliminate revenue deficits. Major recommendations of th finance commission headed by shri vijay.
The 14th finance commission has recommended a record 10% increase in the states share in the union taxes to 42% as compared to the th. The 14th finance commission headed by former rbi governor yv reddy submitted its report to the president of india on 15 december 2014. About this report this report focuses on making the case for climate adaptation, providing specific insights and recommendations in key sectors. Its main work is to give recommendations on distribution of central tax revenues between the union and the states. Guideline for use of incentive amount in state finance commissions. Sep 30, 2019 wb pay commission report download 2019 west bengal 6th pay commission report download link 2019 west bengal services revision of pay and allowance rules, 2019, memorandum issued thereon and related orders last week on 23rd september 2019, west. The report of the thirteenth finance commission conundrum in conditionalities introduction the report of the th finance commission, is perhaps more comprehensive than any other report in its analysis of fiscal developments in the country and recommendations on issues not only relevant to intergovernmental finance, but also a. Review and outcomes the 14th finance commission ffc was constituted on 2nd january, 20 and submitted its report on 15th december, 2014. The purpose of this note is to comment on the th finance commissions report with a particular focus on subnational finances. Fourteenth finance commission ffc for rural and urban local bodies local bodies grant. 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. Report of the thirteenth finance commission 20102015. The recommendations for the period from 1st april, 2015 to 31st march, 2020 were. Conundrum of conditionalities article pdf available in economic and political weekly xiv48.
Nov 27, 2010 this special issue on the report of the thirteenth finance commission has eight experts evaluating its recommendations from different perspectives. It was established under article 280 of the indian constitution by the president of india. The fourteenth finance commission ffc union budget. The commission has recommended grants for health sector under its report. Apr 17, 2018 the 14th finance commission has recommended a record 10% increase in the states share in the union taxes to 42% as compared to the th finance commission. The commission submitted its report on 30 november 2004 and covered the period from 2005. 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 report was submitted by a n jha, secretary of the finance. It is definitely going to appear in upcoming interviews and examinations. The finance commission is a constitutional body that is setup under the article 280 of the constitution of india by the president every five years. Abstract the th finance commission has forayed into a number of areas partly warranted by its terms of reference and partly due to the approach it adopted. The fourteenth finance commission was constituted by the president under article 280 of the constitution on jan. The 12th and th finance commissions took different approaches to healthspecific transfers, the former based on expenditure needs and the latter based on health outcomes. Mar 29, 2018 the finance commission, set up in 1951 under article 280 of the constitution, basically decides how revenue has to be distributed between the centre and the states.
The 14th finance commission report has been accepted by the center,the report has been. To recommend the distribution of the net proceeds of taxes between the centre and states, and among the states. 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. This special issue on the report of the thirteenth finance commission has eight experts evaluating its recommendations from different perspectives. Performance audit of ulbs on financial and performance reporting i. I he report of the thirteenth finance commission 201015. Download statistics measured since january 1st, 2014. The major gainers in per capita terms turn out to be kerala, chhattisgarh and madhya pradesh for gcs and arunachal pradesh, mizoram and sikkim for scs. The application form can be downloaded from please submit a. On 5th december 2014, the 14th finance commission presented its report to the union government. The finance commission miscellaneous provisions act, 1951 was passed to give a structured format to the finance commission and to bring it to par with world standards, by laying down rules for the qualification and disqualification of members of the commission, and for their appointment, term, eligibility and powers. The commission has to submit the report to the government by october 30. Besides, the commissions recommendations on the goods and services tax have. As an important constitutional entity, the commission is committed to balancing competing claims and priorities among all three tiers of government in a credible manner.
Grant recommended by th finance commission extent of utilization of earlier instalments to determine eligibility for release of subsequent instalments o. The independent commission of enquiry icoe was established by the office of the president on 30 july. Singh chairman of 15th finance commission of india. The thirteenth finance commission was required to look into the revenue impact of the introduction of the goods and services tax. Report of the th finance commission 2010 2015 the government must cut its fiscal deficit to 3% of the gdp by the end of fiscal year 2014 and eliminate its revenue deficit in 201415. About finance commission the finance commission of india came into existence in 1951. Article 280 of the constitution of india requires the constitution of a finance commission every five years, or earlier. Report summary report of the thirteenth finance commission. The th fc was constituted by the president under article 280 of the indian constitution on th november 2007 under dr.
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. There is little doubt that some of the recommendations, if. The 14th finance commission has been hailed as pathbreaking for recommending larger fund allocations to state governments and giving them more autonomy in spending these funds. On the whole the finance commission faces new challenges in the process of the evolution of our federal polity. Fourteen 14th finance commission economics study material. Vijay kelker to give recommendations on specified aspects of centre state fiscal relations during 201015. The main aim of the finance commission is to address the vertical and horizontal imbalances between the centre and the states. The fourteenth finance commission is of the view that tax devolution should be the primary route of resources to the states. Report of the task force on goods and services tax thirteenth finance commission executive summary page i executive summary 1.
Apr 27, 2015 the 14th finance commission has been hailed as pathbreaking for recommending larger fund allocations to state governments and giving them more autonomy in spending these funds. Revenue deficit to be progressively reduced and eliminated, followed by revenue surplus by 202014. Article 280 of the constitution requires that a finance commission be constituted. Also, the government said hra will not be less than rs. 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. Who is the chairman of th finance commission answers.
Part b bihar government memorandum to the thirteenth finance. Get complete information on twelfth finance commission of. 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. Feb 12, 2014 report of the th finance commission 2010 2015 the government must cut its fiscal deficit to 3% of the gdp by the end of fiscal year 2014 and eliminate its revenue deficit in 201415. For the period from 1st april, 2015 to 31st march, 2020, the 14th finance commission ffc was constituted by the orders of president on 2nd january, 20 and submitted its report on 15thdecember, 2014. 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.
May, 2017 the 14th finance commission report has been accepted by the center,the report has been. Press release on the final report of the independent. Download complete local bodies statements finance commission india. The government of the republic of the union of myanmar union attorney generals office press release th waning of pyatho 81 m. The 14th finance commission was setup by the president in january 2014 under the chairmanship of the former rbi governor y v reddy and its other members were sushma nath, m govinda rao, sudipto mundle, abhijit sen. This time 15th finance commission report will be implemented between 2020 2026. Who is the chairman of th finance commission constituted in 2007 answer this multiple choice objective question and get explanation and result.
The fourteenth finance commission had submitted its report to the president pranab mukherjee in december 2014. The th finance commission has forayed into a number of areas partly warranted by its terms of reference and partly due to the approach it. 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. Thirteenth finance commission economic and political weekly.
The report of the th finance commission, is perhaps more comprehensive. Other than tax devolution vertical and horizontal which are specified in percentages, other transfers. This is 10% more compared to 32% target set by th financial commission. Recommendations of thirteenth finance commission international. Its primary job is to recommend measures and methods on. Guidelines for the performance grant disbursement in fourteenth finance commission. Constitution ofthe commission terms of reference period of report of 2 state finance commission sfc approach of the commission methodology difficulties faced by the commission and suggestions others. The commission is comanaged by world resources institute and the global center on adaptation. Apart from tax devolution and sectorspecific grants, other major recommendations of the commission are a revised roadmap for fiscal consolidation for the states.
Download fulltext pdf the th finance commissions report. The 15th finance commission may split open demographic fault lines between south and north india. Key recommendations of the 14th finance commission i. It is a body set up under article 280 of the constitution. The report of the thirteenth finance commission conundrum in. The commission submitted its report to the president on 30th december 2009 covering all aspects of its mandate composition. It was formed to define the financial relations between the centre and the state. Recommendations and implementation offirst state finance commission recommendations of 1. Earlier, the finance commission was appointed in january 20 to give its report by october 31 this year. The report of the thirteenth finance commission conundrum. The commission is headed by former reserve bank of india rbi governor y v reddy. Thirteenth finance commission guidelines department of.
The thirteenth finance commission of india was constituted by the president of india under the chairmanship of vijay l. Recommendations of the 14th finance commission the hindu. E 22 january 2020 press release on the final report of the independent commission of enquiry 1. 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. The taxation of goods and services in india has, hitherto, been characterised as a. The commission may exclude from its purview the detailed examination of administration of defence, railways, external affairs, security and intelligence, as also subjects such as centrestate relations, judicial reforms etc. The commission makes recommendation to distribute taxes between centre and state. Pdf critically appraising the recommendations of the thirteenth finance commission, this paper points out that despite some tinkering with. The twelfth finance commission tfc under the chairmanship of dr. The 15th finance commission may split open demographic. Apart from the tax devolution, the thirteenth finance commission hereafter tfc has given a large number of conditional grants linking.
Rajan kumar gupta md nazim khan tanmaya kundu bhaskar md. To download 15th finance commission recommendation. The share of states in the net proceeds of the shareable central taxes should be 32%. On march 19, 2020, the finance commission announced that it will monitor situation of covid19 before releasing its second report. New delhi 110016 content owned by finance commisssion of india. Department of administrative reforms and public grievances, ministry of personnel, public grievances and pensions was set up in 1964 with a view to facilitate the pursuit of excellence in governance through promotion of improvements in government structures and processes etc. Download fulltext pdf the th finance commissions r eport. Report of the task force on gst th finance commission. Seventh pay commission report download pdf format click here.
624 898 965 269 458 52 1366 1487 1075 1281 1476 732 783 1199 910 555 1497 587 1514 1076 1398 1142 1299 383 966 512 984 1306 1266 149 341 988 1435 932 956 851 1245 350 327 474 1379