14th Finance Commission

The government announced the constitution of the 14th Finance Commission under the chairmanship of former RBI Governor Y. V. Reddy. The five- member panel is to submit its report by October 31, 2014. Apart from its recommendations on the sharing of tax proceeds between the Centre and the States which will apply for a five-year period beginning April 1, 2015, the Commission has been asked to suggest steps for pricing of public utilities such as electricity and water in an independent manner and also look into issues like disinvestment, GST compensation, sale of non-priority PSUs and subsidies.