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In Depth - Finance Commission

India's federal structure of governance allows the Centre to collect most of the important taxes. But a lot of expenditure falls on the states. Which means they also need to be helped with a commensurate portion of tax revenue. So what proportion of taxes should the Centre share with the states ... This is exactly the question that the Finance Commission decides every five years. In this line of Finance Commissions... the 15th panel constituted in November 2017 became the first to use the 2011 population census to decide the tax sharing. This generated unprecedented debate... with the southern states asserting that the move could harm them... Today in In Depth, we will consider this controversy ...And also how Finance Commissions function and on what basis do they make recommendations. Anchor: Teena Jha

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