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of <h1>Local Governments Gain Financial Autonomy Through State-Authorized Tax Collection and Fiscal Management Mechanisms</h1> State legislatures are empowered to authorize local panchayats to levy and collect taxes, assign specific state-levied taxes, provide grants from state consolidated funds, and establish financial management procedures for local governance. The provisions outline comprehensive fiscal mechanisms enabling local self-government entities to generate and manage their own financial resources within prescribed legal frameworks and limitations.
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