Official Answer Key & Detailed Solution
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Correct Answer: Option (C) — 1 and 3 only
Concept & Option Breakdown
Standard Reference VerifiedStatement 1 is correct: The 13th Finance Commission recommended a model GST design and an incentive grant/compensation package of ₹50,000 crore for states adhering to the GST framework. Statement 2 is incorrect: The Commission did not provide a detailed job creation scheme or blueprint for employment generation; its core mandate was revenue sharing and fiscal consolidation. Statement 3 is correct: The Commission recommended linking grants to local bodies directly to a specified percentage (around 2.28%) of the divisible pool of central taxes.
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