The correct answer is “Constitutional body”.
The State Finance Commission is a constitutional body in India. It is established under Article 243I of the Constitution of India.
The purpose of the State Finance Commission is to make recommendations on matters related to the financial resources of the Panchayats (local self-government institutions) and the distribution of such resources between the state government and the Panchayats. The governor appoints the State Finance Commission for a five-year term.