Section 8 of FCMPA : Section 8: Procedure And Powers Of The Commission

Explanation using Example

Imagine a scenario where the Finance Commission of India is tasked with assessing the distribution of taxes between the central and state governments. During their assessment, they require detailed financial records from a state's revenue department.

The Commission uses its powers similar to a civil court under Section 8 of The Finance Commission (Miscellaneous Provisions) Act, 1951. They issue a summons to the head of the state revenue department, compelling their attendance as a witness. The Commission also demands the production of specific tax collection documents and public records that are crucial for their analysis.

If the head of the department fails to comply, the Commission can legally enforce their attendance and the submission of the required documents. Moreover, if the Commission needs additional information, they have the authority to mandate any individual to provide relevant data, which that individual must legally furnish, overriding confidentiality clauses that might exist in other laws such as the Indian Income Tax Act, 1922.

In this process, the Commission operates with the jurisdictional reach covering the entire territory of India, ensuring that no matter where the witness or documents are located, they can be summoned and requisitioned effectively.