What are the rules concerning taxes levied and collected by the Union but assigned to the States?
Article 269 states that taxes on the sale or purchase of goods and taxes on the consignment of goods, except as provided in Article 269A, shall be levied and collected by the Government of India but assigned to the States. The net proceeds of such taxes, excluding proceeds attributable to Union territories, shall not form part of the Consolidated Fund of India but be assigned to the States where the tax is leviable and distributed among them according to principles formulated by Parliament.