Statement i: Central government does not have exclusive power to impose tax which is not mentioned in state or concurrent list.

The statement i is incorrect. The Constitution of India provides for a three-tier system of government - central, state, and local. Each tier has its own list of subjects on which it can make laws and impose taxes. These lists are known as the Union List, the State List, and the Concurrent List.

The Union List consists of subjects on which only the central government can make laws and impose taxes. The State List consists of subjects on which only the state governments can make laws and impose taxes. The Concurrent List consists of subjects on which both the central and state governments can make laws and impose taxes.

However, there is a provision in the Constitution that allows the central government to impose taxes on subjects that are not mentioned in any of the lists. This is known as residuary power. The residuary power allows the central government to levy taxes on any subject that is not covered by the Union List, State List, or Concurrent List.

Statement ii: The constitution also provides for transferring certain tax revenues from union list to states.

The statement ii is correct. The Constitution of India provides for the distribution of tax revenues between the central and state governments. Under the constitutional arrangement, certain taxes levied by the central government are shared with the states.

The taxes that are shared with the states are known as the shareable taxes. These include taxes like the income tax, customs duty, and central excise duty. The shareable taxes are collected by the central government but a portion of the revenue is transferred to the states as per the recommendations of the Finance Commission.

The Finance Commission is a constitutional body that is responsible for recommending the distribution of tax revenues between the central and state governments. The recommendations of the Finance Commission are binding on the central government.

The transfer of tax revenues from the Union List to the states helps in ensuring fiscal autonomy and financial stability for the state governments. It also ensures a fair distribution of resources between the central and state governments.

In conclusion, statement i is incorrect as the central government does have the power to impose taxes on subjects not mentioned in the state or concurrent list. Statement ii is correct as the Constitution provides for the transfer of certain tax revenues from the Union List to the states.