ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846

Articles By R Mohan

The Sixteenth Finance Commission

Instead of a fixed vertical share for the entire award period, an upward revision of vertical devolution to the states as and when there is an increase in cess and surcharges by the union government should be considered. It is also worth considering the creation of a horizontal equity stabilisation fund to be distributed as grants under Article 275 to those states that witness a significant fall in horizontal share as compared to the award of the previous finance commission.

Fifteenth Finance Commission Award for 2020–21

The first report of the Fifteenth Finance Commission has allayed many fears that arose after the notification of the terms of reference of the commission. The main report for the period 2021–22 to 2025–26 will have to factor in the devastating impact of COVID-19 on the economy and provide adequate fiscal space to the states for socio-economic response and recovery.

Challenges to Indian Fiscal Federalism

The state of cooperative federalism in India is analysed by focusing on the trends in vertical fiscal imbalances between the centre and the states, the impact of Fiscal Responsibility and Budget Management acts on the fiscal space of the states, the implications of the Terms of Reference of the Fifteenth Finance Commission, and the need for empowering local governments in the context of centre–state relations.