Article 243Y of Constitution of India "Finance Commission"
(1) The Finance Commission constituted under Article
243-I shall also review the financial position of the
Municipalities and make recommendations to the Governor as
to;
(a) the principles which should govern;
(i) the distribution between the State and the
Municipalities of the net proceeds of the taxes, duties,
tolls and fees leviable by the State, which may be divided
between them under this Part and the allocation between the
Municipalities at all levels of their respective shares of
such proceeds;
(ii) the determination of the taxes, duties, tolls and
fees which may be assigned to, or appropriated by, the
Municipalities;
(iii) the grants-in-aid to the Municipalities from the
Consolidated Fund of the State;
(b) the measures needed to improve the financial position of
the Municipalities;
(c) any other matter referred to the Finance Commission by
the Governor in the interests of sound finance of the
Municipalities.
(2) The Governor shall cause every recommendation made by
the Commission under this Article together with an
explanatory memorandum as to the action taken thereon to be
laid before the Legislature of the State.
Article 243Z of Constitution of India "Audit of accounts of Municipalities"
The Legislature of a State may, by law, make provisions with respect to the maintenance of accounts by the Municipalities and the auditing of such accounts.
Article 243ZA of Constitution of India "Elections to the Municipalities"
(1) The superintendence, direction and control of the
preparation of electoral rolls for, and the conduct of, all
elections to the Municipalities shall be vested in the State
Election Commission referred to in Article 243K.
(2) Subject to provisions of this Constitution, the
Legislature of a State may, by law, make provision with
respect to all matters relating to, or in connection with,
elections to the Municipalities.