Grants-in-aid of revenue to the states is recommended by the ____________.

Inter-State Council

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Planning Commission

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Finance Commission

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National Development Council

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Solution

The correct option is B Finance Commission
The Finance Commission of India was set up by the President of India under Article 280 of the Constitution in 1951. It is an autonomous body and makes recommendations on the distribution of taxes between centers and states. The Grant-in-aid from the center to state flow on the advice and recommendation of the Finance Commission.

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Similar questions

Q. Which authority recommends the principles governing the grants-in-aid of the revenues of the States out of the Consolidated Fund of India?

Q. Grants, a part of the revenue expenditure of the government, refers to all the grants given by the state government to the central government.

Q. Economic planning by which both the state and the private sector played a role in development was called a _________ model.

Q. The sources of revenue of the Municipal Council include property tax, grants from State Government, ________________.

Consider the following statements regarding Grants-in-Aid to the States:
1. The provision of Statutory Grants to states is made under Article 282 of constitution.
2. The provision of Discretionary Grants to states is made under Article 275 of constitution.
3. The bases of Statutory Grants are recommendations of finance commission.
Which of the above statement(s) is/are correct?

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