Which of the following bodies is constitutionally mandated to recommend the vertical and horizontal distribution of tax revenues between the Union government and the states in India?

💡 Solution & Explanation

The Finance Commission is a constitutional body constituted under Article 280 by the President of India every five years to recommend the principles governing the distribution of net tax proceeds between the Union and states. The Goods and Services Tax Council handles indirect tax rate structures and exemptions under Article 279A. NITI Aayog serves as a policy think tank without statutory tax devolution powers.