Cabinet clears setting up of 15th Finance Commission
The commission would recommend the formula for sharing taxes between the Centre and the state and allocation of each state for the five-year period between 2020 and 2025.
Union cabinet on Wednesday cleared the setting up of the 15th Finance Commission to decide on the devolution of tax revenue between the Centre and state governments.
The Fifteenth Finance Commission would recommend the formula for sharing taxes between the Centre and the state and allocation of each state for the five-year period between 2020 and 2025.
Although the Finance Panel is set up about two years before the end of the previous five-year period, the process this time has reportedly been advanced to change the fiscal year cycle from January to December.
The Finance Commission, a statutory body, usually requires a period of at least 15-18 months to prepare its report. It is then studied by the Finance Ministry and a formal announcement of its recommendations are made in the next Union Budget.
In the Union Budget 2017-18, the Finance Ministry had allotted ₹10 crore for setting up the commission.
The Fourteenth Finance Commission, which was chaired by former Reserve Bank of India Governor YV Reddy, made its recommendations for the period between April 1, 2015 and March 31, 2020.
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.
RECOMMENDED STORIES
SBI 444-day FD vs Union Bank of India 333-day FD: Know maturity amount on Rs 4 lakh and Rs 8 lakh investments for general and senior citizens
Power of Compounding: Salary Rs 25,000 per month; is it possible to create over Rs 2.60 crore corpus; understand it through calculations
New Year Pick by Anil Singhvi: This smallcap stock can offer up to 75% return in long term - Check targets
PSU Oil Stocks: Here's what brokerage suggests on these 2 largecap, 1 midcap scrips - Buy, Sell or Hold?
Power of Compounding: How many years it will take to reach Rs 2 crore corpus if your monthly SIP is Rs 3,000, Rs 4,000, or Rs 5,000
Retirement Calculator: 40 years of age, Rs 50,000 monthly expenses; what should be retirement corpus and monthly investment
01:32 PM IST