Guwahati: The Chairman of the 16th Finance Commission highlighted that the second part of the commission's focus is on health, education, and financial development. He emphasized the importance of maintaining lower tax rates and excise duties, particularly on liquor and petrol, noting that neighboring states do not generate significantly more revenue through higher taxes.
Assam is identified as the growth engine of the Northeast. The 15th Finance Commission allocated a 15% state share based on population and demographic factors, which remains crucial in funding development initiatives.
The government of Assam is the seventh state to be visited by the Commission. It was noted that tax revenues function as a fixed pie, and the state's net worth is a critical factor in financial planning.
Additionally, the ongoing flood issues in Assam were acknowledged, highlighting the need for sustainable solutions. The state's GDP ratio stands at 23.5%, underscoring its economic significance in the region.
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