How does the Finance Commission determine the taxes, duties, tolls, and fees that can be assigned to or appropriated by municipalities under this law?
The Finance Commission determines the taxes, duties, tolls, and fees that can be assigned to or appropriated by municipalities under this law through its recommendations made to the Governor. These recommendations are based on the principles governing the distribution between the State and the Municipalities of the net proceeds of the taxes, duties, tolls, and fees leviable by the State which may be divided between them under this Part. Additionally, the Finance Commission recommends the allocation between the municipalities at all levels of their respective shares of such proceeds, as well as the determination of the taxes, duties, tolls, and fees which may be assigned to, or appropriated by, the Municipalities, and the grants-in-aid to the Municipalities from the Consolidated Fund of the State.