15th Finance Commission 2020-2021

Post author:Ashish Jha
Post published:November 10, 2020

15th Finance Commission

15th Finance Commission: N.K. Singh led by the President of India has submitted its report for the 15th Finance Commission. The report is valid for the period 2021-2026. The Financial Commission is a constitutional body set up under Article 280 of the Constitution of India to allocate certain sources of revenue between the Central and State Governments.

How to make an appointment

The President, after serving for two years for the Constitution of India, shall, once every five years, establish the Finance Commission of India. Parliament may legislate the qualifications required for the appointment of members of the Commission and the election process.

The Finance Commission Chairperson is elected by a person with knowledge of public affairs. The other four members are elected by the people: High Court judges, experts in financial matters or accounts, or current, or existing, or qualified as management and financial technicians; Or have specialized financial knowledge

Its functions

The distribution of the ‘tax balance’ between the Institute and the provinces is divided according to their specific tax contributions. Determine the factors that control grants-in-aid in provinces and the magnitude of similarities. To make recommendations to the President on the steps required to increase the state fund to increase the resources of panchayats and municipalities in the government based on the recommendations made by the State Finance Commission. Any other thing related to this is a president interested in healthy money.

It is recommended to reduce the international share of corporate tax from 42% in 2015-20 to 41% in 2020-21. 1% discount for newly established territories for Jammu and Kashmir Unions, and Ladakh from Central Government Resources.