In addition to collecting taxes, municipalities also rely on from the central and/or state government for the completion of public amenity projects.

relief

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charity

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favours

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grants

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Solution

The correct option is D grants
The taxes collected from citizens are often not sufficient to fund all the projects undertaken by the local government. In such circumstances, the municipalities depend on grants from the central and/or state government. Funds are assigned for different projects like construction of roads and bridges. Municipalities also utilise these funds for their day-to-day work.

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Similar questions

List I	List II
A. Income Tax	1. Levied and collected by the Central Government
B. Corporation	2. Levied and collected by the Central Government and shared by the State Government
C. Professional Tax	3. Levied by the Tax Central Government but collected and appropriated by the State Government
D. Stamp Duties	4. Levied, collected and retained by the State Government.

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