/newsdrum-in/media/agency_attachments/2025/01/29/2025-01-29t072616888z-nd_logo_white-200-niraj-sharma.jpg){kind=logo}
/newsdrum-in/media/member_avatars/9Rj3p38eDEeibqzKtTLR.jpg )
Follow Us/newsdrum-in/media/media_files/2026/02/01/union-budget-2026-bahi-khata-2026-02-01-10-45-27.jpg)
Finance Minister Nirmala Sitharaman with the digital tablet, enclosed in a traditional red 'bahi-khata' style pouch, at the Parliament premises, in New Delhi, Sunday, Feb. 1, 2026.
New Delhi (PTI): Finance Minister Nirmala Sitharaman on Sunday laid the 16th Finance Commission report for tax revenue devolution between Centre and states for 2026-2031 in the Lok Sabha.
The Finance Commission, which has been set up under the Constitution, provides a formula for devolution of taxes between Centre and states.
Cesses and surcharge levied by the Centre are not part of the divisible pool.
The Finance Commission is a constitutional body that gives suggestions on Centre-state financial relations and is set up periodically.
The 16th Finance Commission, headed by former Vice-Chairman of Niti Aayog Arvind Panagariya, was set up on December 31, 2023.
Led by Panagariya, Finance Commission members -- Retired bureaucrat Annie George Mathew, economist Manoj Panda, SBI Group Chief Economic Advisor Soumya Kanti Ghosh, and RBI Deputy Governor T Rabi Sankar -- and Secretary to the Commission Ritvik Pandey submitted its report to President Droupadi Murmu on November 17, 2025.