Which of the following statements are correct regarding the Finance Commission and its role in fiscal policy and financial governance in India?
- The Finance Commission is constituted by the President of India every five years.
- It recommends the distribution of taxes between the Centre and the States and among the States themselves.
- The Finance Commission's recommendations are binding on the government.
1
Only 1
2
Only 2
3
1 and 2
4
2 and 3
5
1, 2, and 3