Question

Main agency to resolve the fiscal dispute between the Centre and States is:

  1. Supreme Court
  2. Law Minister
  3. Finance Minister
  4. Finance Commission

Answer:

Option A: Supreme Court

Detailed Solution:

The correct answer is “Supreme Court”.

The Supreme Court of India has the primary role in resolving fiscal disputes between the Centre and the States. This is enshrined in Article 131 of the Indian Constitution, which grants the Supreme Court original jurisdiction over such disputes.