State Finance Commissions are constitutional bodies in India. They assess the financial needs of state governments. They recommend the distribution of tax revenues between the state and local bodies. Their role is crucial for fiscal decentralisation. They ensure equitable resource allocation. Each state establishes its own commission every five years. These commissions help strengthen local governance and promote financial stability.
The Fifteenth Finance Commission has brought into light the importance of State Finance Commissions (SFCs) in India. As of November 2023, all states, except Arunachal Pradesh, have established...
