Complete detailed Notes on Centre-State Relations  for BPSC and Other Competitive Exams in 2025

Centre-State Relations

Complete detailed Notes on Centre-State Relations  for BPSC and Other Competitive Exams in 2025

Indian Polity-6

Centre-State Relations

Overview

  • Articles 245 to 263 of the Indian Constitution deal with Centre–State Relations.
  • India is a federal country with a unitary bias – strong Centre and relatively less powerful States.
  • Dr. B.R. Ambedkar called Indian federalism as “a Union of States”.

Legislative Relations (Articles 245–255)

Distribution of Legislative Powers:Centre-State Relations

The Constitution divides legislative subjects between the Centre and States via Seventh Schedule:

ListAuthorityNo. of Subjects
Union ListCentre97 (now 100)
State ListStates66 (now 61)
Concurrent ListBoth47 (now 52)

In case of conflict on Concurrent List: Union law prevails (Article 254).

Centre’s Dominance in Legislation:

  1. Article 249 – Parliament can legislate on State List items in national interest with Rajya Sabha resolution (2/3rd majority).
  2. Article 250 – During National Emergency, Parliament can legislate on State List.
  3. Article 252 – Two or more states can request Parliament to legislate for them on a State subject.
  4. Article 253 – Parliament can legislate on any subject to implement international treaties.
  5. Article 248Residuary powers rest with the Union Parliament.

Administrative Relations (Articles 256–263)

Centre’s Control Over States:

ArticleProvision
Article 256States must exercise their executive powers in a manner that doesn’t impede Union laws.
Article 257States must not impede Centre’s executive power; Centre can issue directions.
Article 258President may entrust Union functions to States.
Article 258AGovernor may entrust State functions to Union (added by 7th Amendment).
Article 261Public Acts and judicial proceedings recognized across India.

All-India Services (like IAS, IPS):

  • Controlled by Centre but work under States.
  • Maintain administrative unity.

Obligation of States:

  • States must implement laws made by Parliament.
  • Union can give directions to States for proper functioning.

Financial Relations (Articles 268–293)

Division of Taxes:

TypeCollection
Article 268Duties levied by Centre but collected by States (e.g., stamp duties, excise on medicinal products).
Article 269Taxes on inter-state trade (like old CST) levied and collected by Centre but assigned to States.
Article 270Taxes levied and collected by Centre, divided between Centre and States (e.g., Income Tax, GST).
Article 271Surcharge on Central taxes belongs to Centre.
Article 275Grants-in-aid to States from Consolidated Fund of India.
Article 280Finance Commission recommends financial devolution to States.

Goods and Services Tax (GST):

  • Introduced by 101st Amendment Act (2016).
  • GST Council coordinates decisions between Centre and States.
  • Shared between Centre and States based on formula.

Inter-State Council (Article 263)

Purpose:

  • Promote coordination and resolve disputes between Centre and States or among States.

Established:

  • Under Article 263.
  • Constitutional body but not permanent.
  • Set up by Presidential order on recommendation of Sarkaria Commission in 1990.

Composition:

  • Chairman: Prime Minister
  • Members: Chief Ministers of all States & UTs, 6 Union Ministers including Home Minister
  • Functions:
    • Investigate and discuss inter-state disputes.
    • Make recommendations on coordination of policy and administration.
    • Strengthen cooperative federalism.

Zonal Councils

Established under:

  • States Reorganization Act, 1956 (Part-III)statutory body, not constitutional.

Total: 5 Zonal Councils

ZoneStates Covered
NorthernHaryana, Himachal Pradesh, Jammu & Kashmir, Punjab, Rajasthan, Delhi, Chandigarh
CentralUP, Uttarakhand, MP, Chhattisgarh
EasternBihar, Jharkhand, Odisha, West Bengal
WesternRajasthan, Maharashtra, Gujarat, Goa
SouthernAndhra Pradesh, Karnataka, Kerala, Tamil Nadu, Telangana, Puducherry

North-Eastern Council is separate (created in 1971; Shillong HQ).

Composition:

  • Chairperson: Union Home Minister
  • Vice-Chairperson: CM of host state (on rotation)
  • Purpose:
    • Discuss regional issues like infrastructure, border disputes, law & order, development.

Important Commissions for Centre-State Relations

CommissionKey Recommendations
Sarkaria Commission (1983)Emphasized cooperative federalism, recommended setting up of Inter-State Council.
Punchhi Commission (2007)Suggested fixed tenure for Governor, limit Article 356 misuse, strengthen federal structure.

Quick Comparison Table: Centre vs State

AspectCentreState
Law-Making PowerUnion List (100 subjects)State List (61 subjects)
FinanceControls major taxesReceives shares, grants
AdministrationControls all-India servicesExecutes laws
Emergency PowerDominant during emergencySubordinate

Expected MCQ/Descriptive Questions (UPSC/BPSC)

  1. Which Article allows Parliament to legislate on a State subject in national interest
    Article 249
  2. Who chairs the Inter-State Council
    Prime Minister
  3. How many Zonal Councils are there in India
    Five (NE Council is not a Zonal Council)
  4. Which commission recommended the creation of the Inter-State Council
    Sarkaria Commission
  5. What is the constitutional provision for the Finance Commission
    Article 280
BPSC

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