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Difficulty: MediumLocal Self-Government: Panchayati Raj and Urban Local Bodies (73rd & 74th Amendments)

With reference to the provisions of the 73rd Constitutional Amendment Act, 1992 regarding Panchayati Raj institutions, which of the following is classified as a compulsory (mandatory) provision?

  1. Constitution of a State Finance Commission every five years to review the financial position of PanchayatsAnswer
  2. B
    Providing representation to members of Parliament and State Legislature in Panchayati Raj institutions
  3. C
    Providing reservation of seats for Other Backward Classes (OBCs) in Panchayats at any level
  4. D
    Granting autonomous authority to Panchayats to levy, collect, and appropriate local taxes and duties

Answer

Constitution of a State Finance Commission every five years to review the financial position of Panchayats
The constitution of a State Finance Commission every five years (Article 243-I) is a mandatory constitutional requirement under the 73rd Amendment Act to recommend principles for fiscal devolution to local governance bodies.

Step-by-Step Solution

1
Analyze the scope of the 73rd Constitutional Amendment Act, 1992
The 73rd Amendment categorizes its requirements into compulsory provisions (constitutionally mandatory for all states) and voluntary provisions (discretionary for state legislatures).
To distinguish mandatory structural mandates from discretionary state powers.
2
Identify compulsory provisions under Part IX of the Constitution
Compulsory provisions include a three-tier system (for states with population over 20 lakhs), direct elections to all seats, 1/3rd reservation for women, reservation for SC/STs, fixed 5-year tenure, State Election Commission, and State Finance Commission (Article 243-I).
These provisions ensure uniform institutional structure and democratic accountability nationwide.
3
Evaluate the choices against voluntary provisions
Reserving seats for backward classes, granting tax-levying powers, delegating 11th Schedule functional subjects, and providing representation to MPs/MLAs are all voluntary provisions.
States retain flexibility to decide tax devolution and legislative representation based on local administrative needs.

Key Concept

Compulsory vs Voluntary Provisions of the 73rd Constitutional Amendment Act
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Topics

Local Self-Government: Panchayati Raj and Urban Local Bodies (73rd & 74th Amendments)

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