Part XII of the Indian Constitution deals with the Finance, Property, Contracts, and Suits of the Government of India and the States. This part comprises Articles 264 to 300A and includes provisions related to the financial matters of both the Union (central government) and the States, the management of public funds, and the legal aspects of government property and contracts.
Here's a breakdown of the key provisions and aspects of Part XII:
**Article 264**:
Interpretation: Article 264 provides the interpretation for the terms used in this part, such as "Government of India" and "State."
**Article 265**:
Taxes not to be imposed save by authority of law: This article states that taxes cannot be imposed or collected except by the authority of law. It emphasizes that taxation should be based on the authority granted by legislation.
**Article 266**:
Consolidated Funds and public accounts of India and of the States: Article 266 outlines the concept of Consolidated Funds and Public Accounts for both the Union and the States. It specifies the sources of revenue, such as taxes and loans, that are credited to these funds.
**Article 267**:
Contingency Fund: This article provides for the establishment of a Contingency Fund for each State and the Union. This fund is used for emergencies and unforeseen expenditure.
**Article 268**:
Duties levied by the Union but collected and appropriated by the States: This article deals with certain duties and taxes that may be levied by the Union but collected and appropriated by the States.
**Article 269**:
Taxes levied and collected by the Union but assigned to the States: Article 269 outlines taxes that are levied and collected by the Union but are assigned to the States. These taxes are referred to as "assigned taxes."
**Article 270**:
Taxes levied and distributed between the Union and the States: This article details the taxes and duties that are levied by the Union and then distributed between the Union and the States.
**Article 271**:
Surcharge on certain duties and taxes for purposes of the Union: Article 271 allows for the imposition of surcharges on certain duties and taxes for the purposes of the Union.
**Article 272**:
Taxes which are levied and collected by the Union but may be distributed between the Union and the States: This article provides for taxes that are levied and collected by the Union but may be distributed between the Union and the States.
**Article 273**:
Grants in lieu of export duties: Article 273 deals with grants provided to certain States in lieu of export duties on specified goods.
**Article 274**:
Prior recommendation of President required to Bills affecting taxation in which States are interested: This article requires that Bills affecting taxation in which States are interested should have the prior recommendation of the President.
**Article 275**:
Grants from the Union to certain States: Article 275 allows for grants from the Union to certain States to meet their revenue deficits.
**Article 276**:
Taxes on professions, trades, callings, and employments: This article deals with the power of the States to impose taxes on professions, trades, callings, and employments.
**Article 277**:
Savings: This article provides for the savings of certain existing laws with respect to taxes on income and property.
**Article 278**:
Calculation of "net proceeds," etc.: Article 278 outlines the principles for calculating the "net proceeds" of certain taxes and duties.
**Article 279**:
Service tax levied by Union and collected and appropriated by the Union and the States: This article deals with the service tax levied by the Union and its collection and appropriation.
**Article 280**:
Finance Commission: Article 280 provides for the establishment of a Finance Commission by the President to recommend the distribution of finances between the Union and the States.
**Article 281**:
Recommendations of the Finance Commission: This article outlines the recommendations of the Finance Commission and the power of the President to place them before Parliament.
**Article 282**:
Expenditure defrayable by the Union or a State out of its revenues: Article 282 deals with the power of the Union and States to make grants for certain purposes.
**Article 283**:
Custody, etc., of Consolidated Funds, Contingency Funds and moneys credited to the public accounts: This article provides for the custody and management of Consolidated Funds, Contingency Funds, and moneys credited to the public accounts.
**Article 284**:
Custody of suitors' deposits and other moneys received by public servants and courts: This article deals with the custody of suitors' deposits and other moneys received by public servants and courts.
**Article 285**:
Exemption of property of the Union from State taxation: Article 285 grants property and income of the Union immunity from State taxation.
**Article 286**:
Restrictions as to imposition of tax on the sale or purchase of goods: Article 286 outlines the restrictions on the imposition of tax on the sale or purchase of goods.
**Article 287**:
Exemption from taxes on electricity: Article 287 provides for the exemption of certain Union property from State taxes on electricity.
**Article 288**:
Exemption from taxation by States in respect of water or electricity in certain cases: This article grants exemption from taxation by States in respect of water or electricity supplied by the Union in certain cases.
**Article 289**:
Exemption of property and income of a State from Union taxation: Article 289 grants property and income of a State immunity from Union taxation.
**Article 290**:
Adjustment in respect of certain expenses and pensions: Article 290 deals with the adjustment of certain expenses and pensions between the Union and the States.
**Article 291**:
Exemption of property and income of a State from State taxation: This article grants property and income of a State immunity from State taxation.
**Article 292**:
Borrowing by States: Article 292 deals with the power of the States to borrow money within certain limits and with the approval of the President.
**Article 293**:
Restrictions on borrowing by States: This article places restrictions on the power of States to borrow money.
**Article 294**:
Succession to property, assets, rights, liabilities, etc.: Article 294 deals with the succession to property, assets, rights, and liabilities upon the reorganization of States.
**Article 295**:
Succession to property, assets, rights, liabilities, etc., in other cases: This article deals with the succession to property, assets, rights, and liabilities in cases other than the reorganization of States.
**Article 296**:
Property accruing by escheat or lapse or as bona vacantia: Article 296 deals with the property accruing by escheat or lapse or as bona vacantia (ownerless property).
**Article 297**:
Things of value within territorial waters or continental shelf and resources of the exclusive economic zone to vest in the Union: This article vests things of value within territorial waters or continental shelf and resources of the exclusive economic zone in the Union.
**Article 298**:
Power to carry on trade, etc.: Article 298 empowers the Union and States to carry on trade, commerce, and contracts.
**Article 299**:
Contracts: This article outlines the form and manner in which contracts are to be made on behalf of the Union or the States.
**Article 300**:
Suits and proceedings: Article 300 deals with suits and legal proceedings against the Government of India and the States.
**Article 300A**:
Persons not to be deprived of property save by authority of law:
This article provides protection to individuals by stating that no person can be deprived of their property except by authority of law.
Part XII of the Indian Constitution lays down important principles and procedures related to finance, property, contracts, and legal proceedings involving the Government of India and the States