The Finance Commission recommends to the President as to:-
1. The distribution between the Union and the States of the net proceeds of taxes to be divided between them and the allocation between the States of respective shares of such proceeds;
2. The principles which should govern the grants-in-aid of the revenue of the States out of the Consolidated Fund of India;
3. The measures needed to augment the Consolidated Fund of a State to supplement the resources of the Panchayats and Municipalities in the State;
4. Any other matter referred to the Commission by the President in the interest of sound finance
K Mohan @ Moga
'Idhuvum Kadandhu Pogum "
Even this challenging situation would ease
In a federal system where central and state governments exist. It is natural for some differences to persist there. Therefore, efforts should be made in this direction that the center should remain as powerful as possible and also maintain satisfaction and development in the states.
Keep your Face to the SunShine
Anyhow this dispute between the states and the central government will bealways there. As long as Babu was the Chief Minister of the AP state, he used to always talk about funds from the central government. Even KCR is doing that only. But the present CM of AP is not doing any sound as many cases are pending against him and anytime probelm may come to him.
Even in times of disater also,. centre government will depute a team to study the situation and basing their recommendations the government will act. But it will never take any unilateral decision. However there will be always complaints about these funds when the state government is of different party from that of the party to which the central government belongs.
"Life is easier when you enjoy what you do"
Thoughts exchanged is knowledge gained.