and a fewer States have submitted action taken reports (ATRs) on the recommendations made by the SFCs as noted by the Twelfth (Central) Finance Commission (TwFC).
The TwFC, inter alia, recommended that SFCs should follow a normative approach in the assessment of revenues and expenditure in order to arrive at the gap that may be considered by the CFC and that the principal recommendations of the SFCs may be accepted without modification as in the case of CFC.