• UGI USER
  • Jul 10, 2024
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SIXTEENTH FINANCE COMMISSION ESTABLISHES ADVISORY PANEL FOR BROADENED SCOPE

Why in the news?

  • The Sixteenth Finance Commission forms an advisory panel to aid in Terms of Reference, research, and broaden its scope.
  • Panel led by Poonam Gupta includes experts from EY, Axis Bank, HSBC, and Bank of America for diverse inputs.
Source: researchgate

About 16th Finance Commission:

  • Constituted under Article 280 (1) of the Constitution by the President of India.
  • Chairman: Arvind Panagariya, former vice-chairman of NITI Aayog.
  • Tenure: 5 years starting from April 1, 2026.
  • Objectives: Address vertical imbalances in taxation and expenditure between the Centre and States.
Key points about the Finance Commission:

  • Constitutional Status: Established under Article 280 of the Constitution of India.
  • Appointment and Tenure: Constituted by the President of India every five years or as deemed necessary.
  • Nature: Functions as a quasi-judicial body.
  • Advisory Role: Recommendations are advisory in nature and not binding.
  • Composition: Consists of a Chairman and four members.
  • Qualifications: Members should have qualifications in law (preferably High Court judges), finance, administration, or economics.

Associated Article:

https://universalinstitutions.com/16th-sixteenth-finance-commission/