Money Bill in India
Money Bill in India
A Money Bill is a special type of bill in the Indian Parliament that deals exclusively with matters related to taxation, public expenditure, and government borrowing.
Constitutional Definition
Defined under Article 110 of the Indian Constitution.
A bill is a Money Bill if it contains only provisions related to:
Imposition, abolition, remission, alteration, or regulation of any tax.
The regulation of borrowing by the government.
The custody and operation of the Consolidated Fund of India or the Contingency Fund.
Appropriation of money out of the Consolidated Fund.
Declaration of expenditure charged on the Consolidated Fund.
Receipt of money into the Consolidated Fund.
Audit of accounts and related financial matters.
Key Features of Money Bills
Introduction:
Can only be introduced in the Lok Sabha (House of the People) with the prior recommendation of the President.
Role of Rajya Sabha (Council of States):
Rajya Sabha cannot amend or reject a Money Bill.
It can only make recommendations.
It must return the Money Bill to Lok Sabha within 14 days.
If Rajya Sabha does not return it in 14 days, the Bill is deemed passed by both Houses.
Speaker’s Certification:
The Speaker of Lok Sabha has the final authority to certify a bill as a Money Bill.
The Speaker's decision is final and cannot be questioned in court.
No Joint Sitting:
If there is disagreement between the two Houses over a Money Bill, no joint sitting of Parliament is held (unlike ordinary bills).
Significance
Ensures financial matters are dealt with efficiently.
Restricts the Rajya Sabha's power over financial legislation.
Gives Lok Sabha supremacy over financial laws since it represents the people directly.
Examples of Money Bills
Finance Bill (Annual Budget).
Appropriation Bill.
Bills related to taxation and government spending.
Difference Between Money Bill and Financial Bill
Money Bill: Only includes matters listed in Article 110.
Financial Bill: May contain other financial matters as well and is classified into two types:
Financial Bill (Type A): Contains provisions of a Money Bill plus other matters.
Financial Bill (Type B): Contains financial matters but not covered under Money Bill definition.
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