Fiscal Federalism - Short Trick

A music teacher named it in fifty-nine.

Richard Musgrave=1959 · German-born American economist

Law first even for two sixty-five paise

Law — no tax without it=Art 265 — no tax may be levied or collected except by law

A stamp for two sixty-eight paise

Stamp duties — bills of exchange, cheques, promissory notes=Art 268 — levied by the Union, collected and kept by the States

A whole plate of two sixty-nine puris went to the states.

Whole amount to the states — the Centre levies and collects=Art 269 — e.g. the tax on inter-state trade (269A)

Sharing two hundred seventy laddoos

Shared pool — Union List taxes=Art 270 — divided between Union and States on the Finance Commission’s advice

A surcharge of two seventy-one rupees

Surcharge=Art 271 — surcharge on Art 269 / 270 taxes, for the Union alone

Preeti checks first before the two seventy-four bill.

Prior recommendation of the President=Art 274 — for bills touching a tax the states have a stake in, the meaning of “agricultural income”, or the principles of sharing money with states

Stanley’s prescription for two seventy-five

Statutory grants=Art 275 — by Parliament to needy states, on the Finance Commission’s recommendation · chiefly for Scheduled Tribes’ welfare and Scheduled Areas

Geeta received a hundred-and-one rupee shagun.

GST=Art 279A — the GST Council · 101st Amendment (2016)

Finance uncle shared out two hundred eighty rupees.

Finance Commission=Art 280 — set up by the President every 5 years (sooner if needed) · modelled on Australia

Disco gifts of two eighty-two rupees from an open hand

Discretionary grants=Art 282 — by the Centre or a state, for any public purpose, with no recommendation needed

A loan of two ninety-three rupees taken at home

Loans — State borrowing=Art 293 — States may borrow only within India; with a Union loan outstanding they need the Union’s consent · the state legislature sets the limit