The Empowered Committee of State Finance Ministers was constituted by the Ministry of Finance, Government of India on the basis of resolution adopted in the Conference of the Chief Ministers. It has been registered as a society on August 17, 2004 under the Societies Registration Act XXI of 1960, having its registered office at Delhi Secretariat, Indraprastha Extension, Delhi 110 002.

 The Empowered Committee of State Finance Ministers was constituted for the purpose of evolving and overseeing a consensus of uniform floor rates of sales tax and then to have reforms in state level taxes

The Empowered Committee of State Finance Ministers consists of Finance Ministers of 28 states in India, and of Delhi and Pondicherry. Dr. Asim Dasgupta, the Finance Minister of West Bengal is the current Chairman and Mr. Ramesh Chandra is the first Member Secretary of the Empowered Committee.