Explain the organisation and functions of finance commission of India.

The Finance Commission of India is a constitutional body that plays a pivotal role in the fiscal federalism of the country. It was established under Article 280 of the Indian Constitution, primarily to ensure the equitable distribution of financial resources between the Union and the States, and among the States themselves. The Finance Commission is constituted every five years by the President of India. The body is tasked with making recommendations regarding the allocation of resources and determining the financial relations between the Centre and the States.

The primary objective of the Finance Commission is to ensure that there is a fair distribution of financial resources between the Union and the States, thereby enabling smooth governance and reducing fiscal disparities. It provides a framework for both the Centre and States to achieve fiscal balance, ensuring that all parts of the country, including economically weaker regions, have the necessary financial resources for their development.

Organisation of the Finance Commission:
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