if the central government dicides not to give its shares of taxes to one of the state government while giving it to the rest ? which feature of the indian constitution would be violated? pls answer this ... this is my annual exam ! pls!
Answers
Answer:
There have been many conflicts with regard that whether India is a federal state of not. But, when we see about the characteristics of federal state then we find that one of the characteristics specifically mentions about the distribution of taxes. Thus, a federal state always has a distribution of powers. Indian Constitution specifies about the distribution of revenues where exclusive powers are given to the State, to collect taxes and exclusive powers rest with Union in relation with taxes.
There are three lists namely, central, state and concurrent lists, where distribution of taxes is there in various entries. So, framers of the Constitution have definitely made the distribution appropriately.
The importance of such a distribution is very clear, as with the distribution only, Government will come to conclusion as how has been distributed to each states and how much it should be kept in consolidated fund of India to meet future needs. So, it's very important to see that equal distribution is made of revenues with respect to their contribution.