India's Constitution describes India as a 'Union of States' — not a 'Federation.' This wording is deliberate: the Centre is stronger than states, especially during emergencies. The Constitution's Seventh Schedule divides all legislative powers into three lists: Union List (Centre only), State List (states only), and Concurrent List (both can legislate, but Centre prevails in conflict).
Centre vs State: Who Controls What
Any subject not in any of the three lists (like cybercrimes, drones, or new technologies) goes to the CENTRE under 'residuary powers.' This is opposite to the US, where residuary powers go to states — making India significantly more centralised.
GST: When Centre and States Share Taxation
Before GST, states had exclusive control over sales tax / VAT — a major revenue source. GST replaced these with a shared tax that requires both Centre and states to agree on rates through the GST Council. States were promised compensation for revenue loss for five years (ended 2022). Many states still dispute whether the Council's 'consensus' model gives them real power or just veto rights in theory.
Article 356 — The Nuclear Option
- Article 356 allows the Centre to impose President's Rule in a state on grounds of 'constitutional breakdown'
- Has been used 135+ times since 1950 — many times for partisan reasons
- S.R. Bommai case (1994): SC ruling dramatically limited misuse — dissolution of state assembly now requires Lok Sabha approval
- A state under President's Rule is governed by the Governor on Centre's advice
If Parliament and a state legislature both pass conflicting laws on a Concurrent List subject, which law prevails?
Priya Sharma
Political Correspondent