economics medium True/False

The recommendations of the Finance Commission regarding the distribution of tax proceeds between the Centre and States are binding on the Government of India.

  1. True
  2. False

Answer: False

The Finance Commission is an advisory constitutional body under Article 280. While its recommendations carry immense weight and are generally accepted by the government, they are technically advisory in nature and not legally binding on the Parliament or the Executive.

Topic Public Finance - Institutions
Exam Relevance UPSC Prelims, SSC CGL, Railway
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