Under which Article does the Constitution provide for the financial commission as a balancing wheel of fiscal federalism?

The Correct answer is Article 280

Key Points

• Article 280 of the Indian Constitution provides for the establishment of the Finance Commission.
• The Finance Commission is responsible for recommending the distribution of financial resources between the Union and the States, ensuring a balanced fiscal system.
• The Commission’s role is crucial for maintaining the financial health of the country by addressing fiscal imbalances and ensuring equitable distribution of resources.
• The Finance Commission is a vital institution in the federal structure of India, aimed at maintaining fiscal balance.

 Additional Information

• Article 282
  • Article 282 empowers the Union or State to spend money from its funds for any public purpose.
  • It is not directly related to the Finance Commission but allows financial allocations for general purposes.
• Article 281
  • Article 281 deals with the President’s assent to the Finance Commission’s recommendations.
  • It does not establish the Finance Commission but pertains to the procedural part of its functioning.
• Article 283
  • Article 283 deals with the custody and auditing of accounts of the Union and State Governments.
  • It is unrelated to the functioning of the Finance Commission.