How are revenues distributed between the Union and the States according to the Constitution?
According to the Constitution, revenues are distributed between the Union and the States through various provisions such as taxes levied by the Union but collected and appropriated by the States, service tax levied by the Union and collected by the Union and the States, taxes levied and distributed between the Union and the States, and taxes which are levied and collected by the Union but may be distributed between the Union and the States. Additionally, there are specific taxes such as Goods and Services Tax (GST) levied in inter-State trade or commerce that are also subject to distribution between the Union and the States. The Constitution also provides for Grants in lieu of export duty on jute and jute products, and grants from the Union to certain States. Furthermore, there is a mechanism through which taxes on professions, trades, callings, and employments are allocated, along with savings provisions related to taxation. Lastly, there are special financial arrangements with certain states in Part B of the First Schedule regarding specific financial matters.