Extension Granted: 16th Finance Commission's New Deadline

The Indian government has extended the deadline for the 16th Finance Commission to submit its report to November 30. Led by Arvind Panagariya, the Commission advises on the tax distribution between the Centre and states. It will also evaluate disaster management funding arrangements under the 2005 Act.

The tenure of the 16th Finance Commission has been extended by the government until November 30, granting an extra month for the panel to submit its report.

Chaired by former Niti Aayog vice-chairman Arvind Panagariya, the Commission was initially scheduled to deliver its findings by October 31. Its recommendations play a critical role in determining tax distribution between the Centre and states over the upcoming five years, starting April 2026.

In addition to tax devolution, the Commission is also tasked with reviewing current financing arrangements for disaster management. With eminent members, including retired bureaucrat Annie George Mathew and economist Manoj Panda, the body's report is keenly anticipated for its potential far-reaching economic implications.

(With inputs from agencies.)