a tr t re in ndia 17.13
(c) the objective of not only balancing the for compensation in case of any
receipts and expenditure on revenue revenue loss.
account of all the states and the union (iv) To review the present public expenditure
but also generating surpluses for management systems and recommend,
capital investment; including—
(d) the taxation efforts of the central (a) budgeting and accounting standards
government and each state and practices;
government and the potential for (b) the existing system of classification of
additional resource mobilisation; receipts and expenditure;
(e) the level of subsidies required for (c) linking outlays to outputs and
sustainable and inclusive growth and outcomes; and
equitable sharing of subsidies between (d) best practices within the country and
the central and state governments; internationally.
(f) the expenditure on the non-salary (vi) To review the present arrangements of
component of maintenance and financing of Disaster Management with
upkeep of capital assets and the reference to the funds constituted under
non-wage-related maintenance the Disaster Management Act 2005 and
expenditure on Plan schemes to be make recommendations.
completed by March 31, 2015 and (vii) To indicate the basis on which it has
the norms on the basis of which arrived at its findings and make available
specific amounts are recommended the state-wise estimates of receipts and
for the maintenance of capital assets expenditure.
and the manner of monitoring such The commission is required to generally take
expenditure; the base of population figures as of 1971 in all cases
(g) the need for insulating the pricing of where population is a factor for determination of
public utility services like drinking devolution of taxes and duties and grants-in-aid.
water, irrigation, power, and public However, the commission may also take into
transport from policy fluctuations account the demographic changes that have taken
through statutory provisions; place subsequent up to 1971.
(h) the need for making public-sector
enterprises competitive and market ffc recoMMendaTions
oriented; listing and disinvestment;
The 14th Finance Commission (FFC) submitted
relinquishing of non-priority
its report by early 2015. It has advised for
far-reaching changes for sharing of revenues
(i) the need to balance management of between the Center and the States, on the one
ecology, environment, and climate hand, and between the States, on the other. The
change consistent with sustainable advices apply on the period 2015–20 and are
economic development; and likely to have major implications for Center-
(j) the impact of the proposed goods State relations, for budgeting by, and the fiscal
and services tax on the finances of the situation of, the Center and the states. ‘Successful
Centre and states and the mechanism implementation of the advices will advance the