UPSC Prelims 1995·GS1·polity-and-governance·federal structure

Agricultural income tax is assigned to the State Governments by

Dalvoy logo
Reviewed by Dalvoy
UPSC Civil Services preparation
Last updated 23 May 2026, 3:31 pm IST
  1. Athe Finance Commission
  2. Bthe National Development Council
  3. Cthe Inter-State Council
  4. Dthe Constitution of IndiaCorrect

Explanation

The correct answer is D because the division of powers between the Union and the States is explicitly defined in the Constitution of India. Specifically, under the Seventh Schedule, List II (State List), Entry 46 grants State Governments the exclusive power to levy taxes on agricultural income. Unlike the Finance Commission, which recommends the distribution of existing tax proceeds, or the other bodies mentioned, the Constitution is the primary legal source that assigns this specific taxing authority to the States.
polity-and-governance: Agricultural income tax is assigned to the State Governments by

Related questions

More UPSC Prelims practice from the same subject and topic.