Under which article does the President constitute the Finance Commission?

Correct option is D

The Correct Answer is: (d) Article 280

Explanation

The Finance Commission is constituted by the President of India under Article 280 of the Indian Constitution. The primary function of the Finance Commission is to recommend the distribution of financial resources between the central government and the states. This includes recommendations on the allocation of tax revenues, grants, and other financial matters.

Information Booster

• Article 280: This article specifically empowers the President to constitute a Finance Commission every five years or earlier if required, to recommend financial distribution.

• The Finance Commission plays a crucial role in maintaining financial stability between the central and state governments in India.

• The Finance Commission is important for ensuring the equitable distribution of resources and revenue between different levels of government.

Additional Knowledge

• Article 285: Deals with the exemption of properties of the Union from State taxes.

• Article 288: Relates to the power of the state to impose taxes on goods and services.

• Article 270: Deals with the distribution of taxes between the Union and the States.