Write about composition
and functions Finance Commission
Finance
commission
Article 280 of the Constitution provides for a Finance
Commission as a quasi judicial body. It is constituted by the President of
India every 5th year or at such earlier time as he considers
necessary.
Composition:
The Finance Commission consists of a
chairman and four other members to be appointed by the President. They hold
office for such period as specified by the President in his order. They are
eligible for reappointment.
The Constitution
authorizes the Parliament to determine the qualifications of members of the
commission and the manner in which they should be selected. Accordingly, the
Parliament has specified the qualifications of the Chairman and members of the
commission. The chairman should be a person having experience in public affairs
and the four amongst the following:
1)
A judge of high court or
one qualified to be appointed as one.
2)
A person who has
specialized knowledge of finance and accounts of the government.
3)
A person who has wide
experience in financial matters and in administration.
4)
A person who has special
knowledge of economics.
Functions:
The Finance Commission
is required to make recommendations to the president of India on the following
matters:
1)
The distribution of the
net proceeds of taxes between the Centre and the States, and the allocation
between the states of the respective shares of such proceeds.
2)
The principles that
should govern the grants-in-aid to the states by the Centre (i.e., out of the
consolidated fund of India)
3)
The measures needed to
augment the consolidated fund of a state to supplement the resources of the
Panchyats and the municipalities in the state on the basis of the
recommendations made by the state finance commission.
4)
Any other matter
referred to it by the president in the interests of sound finance.
No comments:
Post a Comment