The Finance Commission Submitted A Report

The Finance Commission submitted a report on the transfer of central taxes to the states, the report will be public after presenting it in Parliament in the winter session.

On Monday, the 15th Finance Commission submitted its report to the President of India on the transfer of central taxes between states during the next fiscal year 2021-22 to FY 2025-26.

This report submitted during the Corona period has been titled ‘Finance Commission in Covid Times’. The report will be made public after it is presented before Parliament in the winter session.

So far, the Finance Commission mainly reports on the states’ share in central taxes and its transfer, but the 15th Finance Commission report on health expenditure, direct benefit transfer (DBT), the incentive to the power sector, solid waste It has also been recommended in cases like management.

The Commission has taken an in-depth review of the financial situation of all the states and recommended different ways to deal with the challenges faced by all the states.

The 15th Finance Commission in its interim report agreed to transfer 42 percent of central taxes to the states, like its former commission. However, for Jammu and Kashmir and Ladakh, the amount was reduced to 41 percent by fixing one percent stake.

According to sources, in the Fifteenth Finance Commission report, a separate fund has also been recommended for the army and internal security.

In view of the Corona period, the Commission has made its recommendations in cases such as grants to local bodies, disaster management grants.

The report also gives the roadmap of economic challenges and measures to deal with them in view of the Corona period.

According to sources, the commission has recommended spending 2.5 percent of the GDP of both the state and the Center on the health sector.

At present, only 0.9 percent of the total GDP of the state and center is in the health sector. According to sources, the commission has also recommended setting up a security fund.

This fund will be spent on the development of the army, paramilitary force and state police. This fund can be called Mardanization of Defense and Internal Security Fund.