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Multiple Choice Questions

Which of the following is are sources of income of Gram Panchayats 1 Taxes on property land goods an...........

Indian Political System(CSC) Panchayati Raj Instiutions

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Which of the following is/are sources of income of Gram Panchayats?

1.Taxes on property, land, goods and cattle

2.Various types of fines collected from the offenders

3.Grants-in- aid from the State government and Union government

4.A part of the land revenue collected by the State government

5.Donations collected from the villagers for some common cause

Select the correct answer using the code given below:

1, 2 and 5

2, 3 and 4

3 and 4 only

All of the above

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Explanation:

The main sources of finance for Panchayat are as follows:

• Taxes on property, land, goods and cattle;

• Rent collected for facilities like Barat Ghar or any other property of panchayat;

• Various types of fines collected from the offenders;

•Grants-in- aid from the State government and Union government;

• A part of the land revenue collected by the State government given to the Panchayats; and

• Donations collected from the villagers for some common cause. Financial resources are essential for performance of the functions by Panchayats, whether these are obligatory functions or developmental work. Gram Panchayats can work better, if they have adequate funds to spend. Over and above the Grants-inaid, State governments have empowered Panchayats to levy taxes and collect funds.

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