A body set up under Article 280 of the Constitution. Its Primary function is to recommend the measures and methods on how revenues need to be distributed between the Centre and states. The Commission also lays down the principles for giving out grant-in-aid to states and other local bodies. The last Commission was 14th, and in respect of that commission the above principles will apply for a five-year period beginning April 1, 2015.
External link: Website of Finance Commission, India