What is the basic requirement under the federal system?
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There is a single currency, foreign policy, and armed forces under the control of a federal government. ... Every State has the constitutional right to impose certain taxes and raise debt. Part of Union government revenue is devolved to the States for public purposes.
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The basic requirement under the federal system
Different tiers of government govern the same citizens, but each tier has its own jurisdiction in specific matters of legislation, taxation and administration.
The jurisdictions of the respective levels or tiers of government are specified in the constitution.
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