It has been constituted by President on 27 November 2017 in pursuance of clause (1) of Article 280 of Constitution of India and Finance Commission (Miscellaneous Provisions) Act, 1951.

• It is constituted to give recommendations on distribution of tax revenues between Union and the States and amongst States themselves.
• It was constituted by Presidential Order on November 2017 under the Chairmanship of N. K. Singh.
• It will decide formula for devolution of revenue/funds between Centre and States, for a 5 year period– April 2020 to March 2025.

Union Cabinet has approved extension of term of 15th Finance Commission (XV-FC) up to 30 November 2019.