Government of India act of 1935 provided for the establishment of an All-India Federation consisting of provinces and princely states as units. The Act divided the powers between the Centre and units in terms of three lists—Federal List (for Centre, with 59 items), Provincial List (for provinces, with 54 items) and the Concurrent List (for both, with 36 items).

Residuary powers were given to the Viceroy. However, the federation never came into being as the princely states did not join it.