Which Article of the Constitution governs the distribution of net proceeds of taxes between the Union and the states like Chhattisgarh as recommended by the Finance Commission?

💡 Solution & Explanation

Article 270 of the Constitution provides for taxes levied and collected by the Union and distributed between the Union and the states. Article 280 establishes the Finance Commission itself, while Article 275 provides grants-in-aid from the Union to certain states including those with tribal welfare needs like Chhattisgarh. Financial devolution formulas are central to state budgetary planning.