Which Article(s) or Part(s) of the Constitution

Solution

Article 280 provides for the establishment of the Finance Commission, a key institution in India’s fiscal federal framework. Its primary function is to recommend the distribution of net tax proceeds between the Union and the States and to suggest principles governing grantsin-aid. The Finance Commission ensures financial autonomy of States while maintaining national economic unity. Though its recommendations are advisory, they carry substantial constitutional weight. In Union of India v. Harbhajan Singh Dhillon, the Court recognized fiscal arrangements as integral to federal balance. The Finance Commission thus operationalizes cooperative federalism by balancing revenue needs and responsibilities.