Which of the given options best describes the truthfulness of the following statements?

Statement - 1: It is the duty of the commission to make recommendations to the President as to the distribution between the Union and the States of the net proceeds of taxes which are to be, or may be, divided between them and the allocation between the States of the respective shares of such proceeds.

Statement - 2: It is the duty of the commission to make recommendations to the President as to the principles which should govern the grants-in-aid of the revenues of the States out of the Consolidated Fund of India.