New Delhi, September 10: Delhi Cabinet today approved constitution of the fourth Delhi Finance Commission which will analyse existing tax structure and recommend distribution of financial resources between the city government and the municipalities in the national capital.
Briefing the media after the cabinet meeting, Chief Minister Sheila Dikshit said the Commission will have to submit its recommendations in the budget session of the assembly in 2011.
Apart from the Chairman, the Commission will have two members including a member-secretary.
Officials said the recommendations of the Commission will be applicable for five years commencing from April 1, 2011.
The main terms of reference of the Commission include recommendations for distribution of various taxes, duties and fees between the city government and the municipalities.
It will also recommend allocation of grants-in-aid by the government to the municipalities from the consolidated fund of the government. .
—Agencies