>Tharun S Yadla at 05:11, 7 March 2021

2021-03-07T05:11:59Z

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{{Refimprove|date=April 2011}}
{{Use dmy dates|date=September 2019}}
{{Use Indian English|date=September 2019}}

The '''Eleventh Finance Commission''' of India was appointed by the [[President of India|President]] on 3 July 1998 for the period 2000-2005.

==Members==

* Prof. [[A. M. Khusro|A.M. Khusro]], Chair
* Shri [[N.C Jain]]
* Shri [[J.C Jetly]], [[Indian Administrative Service|IAS]] (retired)<ref>{{cite web|url=http://fincomindia.nic.in/ShowContent.aspx?uid1=3&uid2=0&uid3=0&uid4=0&uid5=0&uid6=0&uid7=0 |title=Members of previous Finance Commissions: Eleventh Finance Commission |publisher=Fourteenth Finance Commission |access-date=2017-07-22}}</ref>
* Dr. [[Amaresh Bagchi]]
* Shri [[T.N. Srivastava]], IAS, Member Secretary.<ref>{{cite web|title=Report on the Eleventh Commission|url=http://www.tn.gov.in/tsfc/11threport.pdf|accessdate=24 August 2013}}</ref>

==Terms of Reference==
The Commission was asked to make recommendations to the President with regard to the following:-

# With regard to Chapter I of Part XII of the [[Constitution of India|Constitution]], the distribution between the [[Government of India|Centre]] and the [[States of India|States]] of the net proceeds of taxes and the allocation between the States of the shares of these proceeds
# The principles governing the grants-in-aid of the revenues of the States out of the [[Consolidated Fund of India]] and with regard to Article 275 of the Constitution - the sums to be paid to the States which are in need of assistance by way of grants-in-aid of their revenues for purposes other than those specified in the provisos to clause (1) of that article;
# With regard to the recommendations made by the [[Finance Commission]] of the State; the measures needed to augment the Consolidated Fund of a State to supplement the resources of the [[Panchayats]] and [[Municipalities]] in the State
# Suggestions for a restructuring of the public finances so as to restore budgetary balance and maintain macro-economic stability.

==Recommendations==
With regard to the terms of reference the following were the recommendations made by the Commission:

# The total share of the States in the net proceeds of central taxes and duties would be 29.5% for the next five years
# With regard to the revenue deficit grants to States, a lumpsum amount of Rs. 11,000 [[crore]] in the [[Central Budget]] 2000-2001.
# Grants
## For the five years commencing from 1 April 2000, Rs.4,972.63 [[crore]] be given for upgrading of standards of administration and specific grants to certain States for special problems.
## For the five years commencing from 1 April 2000, Rs.10,000 [[crore]] for local bodies, to be directed for maintenance of civic services, Rs.1600 crore per annum is for rural local bodies and Rs.400 crore per annum is for urban local bodies.
# With reference to the Grants-in-Aid under Article 275 (1) of the [[Constitution of India|Constitution]], which amounts to a total of Rs. 35359 crore for the period 2000-2005 to be provided to such States (15 States) which will have deficit non-plan revenue account even after the devolution of central tax revenues, equal to the amount of deficits assessed during the period 2000-2005.
# With regard to the [[Calamity Relief Funds]] in States with an aggregate size of Rs. 11007.59 crore during 2000-2005.
# The tax devolution from the Centre to the State should not exceed 37.5% of total Centre’s revenues this should be inclusive of the Central taxes/duties to States and grants-in-aid to States.

The Commission recommended that each State be given a share as specified the net proceeds of all shareable union taxes and duties except the expenditure tax and service tax.

Data for percentage share for certain states is Bihar-14.597, Maharashtra-4.632, Kerala-3.057, Uttar Pradesh-19.798, Punjab-1.147

== References ==
{{Reflist}}
=== Further References ===
* {{cite book |title=Centre State Financial Relations in India and Finance Commission |author=Sansar Singh Janjua |isbn=8126102233 |location=New Delhi, India |publisher=Anmol Publications |date=1999}}
* {{cite web |url=http://fincomindia.nic.in |title=Finance Commission India |publisher=Fourteenth Finance Commission |location=New Delhi, India |access-date=2017-07-22}}



{{DEFAULTSORT:Eleventh Finance Commission of India}}
[[Category:Finance Commission of India]]
[[Category:1998 establishments in India]]

{{Ministry of Finance (India)}}
{{Finance Commission of India}}

Eleventh Finance Commission - Revision history

>Tharun S Yadla at 05:11, 7 March 2021