33.Parliament (Part -08) Flashcards
What does Article 116 discuss?
Article 116 discusses Votes on account, votes of credit, and exceptional grants.
What is a vote on account?
A vote on account is when the government seeks permission from the Legislature to spend money for a portion of the year before the full budget is set.
When is a vote on account used?
A vote on account is used to incur expenses before a full budget is set.
What are votes of credit?
Votes of credit are granted to meet unexpected demands on India’s resources when the demand cannot be stated with the usual budget details.
How are votes of credit described?
Votes of credit are like a blank cheque given to the Executive by the Lok Sabha.
What purpose do exceptional grants serve?
Exceptional grants are granted for a special purpose and do not form part of the current service of any financial year.
Where are exceptional grants sourced from?
Exceptional grants are sourced from the Consolidated Fund of India.
What situations are exceptional grants used in?
Exceptional grants are used in exigency situations.
How are exceptional grants different from votes of credit?
Exceptional grants are used for special purposes, while votes of credit are used to meet unexpected demands on resources.
What characterizes votes of credit?
The magnitude or indefinite character of the service characterizes votes of credit.
What is the purpose of an interim budget?
The purpose of an interim budget is to bridge the gap between two governments by transferring full budget responsibilities to the next administration.
How is the interim budget set?
The interim budget is set by Parliament through a vote on account.
What does the vote on account in the interim budget allow the government to do?
The vote on account in the interim budget allows the government to cover administrative costs until the new Parliament reviews and approves the yearly budget proposal.
Who is responsible for reviewing and approving the yearly budget proposal after the interim budget?
The new Parliament is responsible for reviewing and approving the yearly budget proposal after the interim budget.
What is the purpose of handing full budget responsibilities to the next administration in the interim budget?
The purpose is to ensure a smooth transition between governments and continuity in administrative funding.
What triggers the implementation of an interim budget?
An interim budget is set in motion when the incumbent government cannot present a full union budget, usually during election time.
How long is an interim budget valid for?
An interim budget is valid for an entire year.
What components are included in the interim budget’s financial statement?
The interim budget provides a complete financial statement and a complete set of accounts consisting of both expenditure and receipts.
Which legislative bodies are involved in the discussion of the interim budget?
The interim budget is discussed with Rajya Sabha and Lok Sabha.
What authority does the interim budget have regarding taxes?
The interim budget has the power to make changes in taxes.
How often is the vote on account passed?
The vote on account is passed every year.
What is the typical duration of validity for a vote on account?
A vote on account is usually valid for 2 months.
What information does the vote on account primarily include?
A vote on account lists only the expenditure.
How is the passage of a vote on account characterized?
A vote on account is passed without any discussion.
Can the vote on account make changes to the tax regime?
No, a vote on account cannot make changes to the tax regime.
What is the Consolidated Fund of India?
The Consolidated Fund of India is a fund where all receipts, such as taxes, are credited and all payments, such as loans, are debited.
What constitutes the Consolidated Fund of India?
The Consolidated Fund of India includes all revenues received by the Government of India, all loans raised by the government, and all money received in repayment of loans.
What are the authorized payments made out of the Consolidated Fund of India?
All legally authorized payments on behalf of the Government of India are made out of the Consolidated Fund of India.
Can money be appropriated from the Consolidated Fund of India without parliamentary law?
No, money cannot be appropriated from the Consolidated Fund of India except in accordance with a parliamentary law as per Article 114.
Is there a separate Consolidated Fund for each state in India?
Yes, under Article 266(1) of the Constitution of India, a Consolidated Fund of State has been established for each state.
What is the nature of the operation of the Consolidated Fund of India?
The operation of the Consolidated Fund of India is legislative in nature.
What is the Public Account of India?
The Public Account of India is constituted by Article 266 (2) of the Indian Constitution.
What type of public money is credited to the Public Account of India?
All other public money received by or on behalf of the Government of India, excluding those credited to the Consolidated Fund of India, is credited to the Public Account of India.
What are some examples of the types of deposits included in the Public Account of India?
Examples of deposits in the Public Account of India include provident fund deposits, judicial deposits, savings bank deposits, departmental deposits, and remittances.
How is the Public Account of India operated?
The Public Account of India is operated by executive action, allowing payments from this account to be made without parliamentary appropriation. Such payments are typically in the nature of banking transactions.
What authorizes the creation of the Contingency Fund of India?
Article 267 of the Constitution authorizes the creation of the Contingency Fund of India.
What is the purpose of the Contingency Fund of India?
The Contingency Fund of India exists to meet unforeseen expenditures, particularly those related to disasters.
Who has the authority to establish the Contingency Fund of India?
The Parliament has the authority to establish the Contingency Fund of India.
When was the Contingency Fund of India Act enacted?
The Contingency Fund of India Act was enacted in 1950.
Who holds the Contingency Fund of India on behalf of the President?
The finance secretary holds the Contingency Fund of India on behalf of the President of India (Department of Economic Affairs).
How is the Contingency Fund of India operated?
Similar to the Public Account of India, the Contingency Fund of India is operated by executive action.
What authority does the President have regarding the Contingency Fund of India?
The President can make advances from the Contingency Fund of India to meet unforeseen expenditure pending its authorization by the Parliament.
What authority does the President have regarding the Contingency Fund of India?
The President can make advances from the Contingency Fund of India to meet unforeseen expenditure pending its authorization by the Parliament.
What authority does the President have regarding the Contingency Fund of India?
The President can make advances from the Contingency Fund of India to meet unforeseen expenditure pending its authorization by the Parliament.
What recent change has been made to the spending norms of the Contingency Fund of India?
In May 2022, the government allowed 40% of the total corpus of the Contingency Fund of India to be placed at the disposal of the Expenditure Secretary.
How much was the Contingency Fund of India proposed to be enhanced to in Budget 2021-22?
Budget 2021-22 proposed to enhance the Contingency Fund of India from Rs. 500 crores to Rs. 30,000 crores through the Finance Bill.
How much of the Fund corpus is placed at the disposal of the Secretary, Ministry of Finance, Department of Expenditure?
An amount equivalent to 40% of the Fund corpus is placed at the disposal of the Secretary, Ministry of Finance, Department of Expenditure for the purpose of meeting unforeseen expenditure.
What is the process for further Contingency Fund releases beyond the 40% limit?
All further Contingency Fund releases require the approval of the Secretary to the Government of India, Department of Economic Affairs, after the approval of the Secretary to the Government of India, Department of Expenditure.
How can the Contingency Fund of India be increased?
The Contingency Fund of India can be increased through a Finance Bill when Parliament is in session or through an Ordinance if the House is not in session and the situation warrants.
Why are parliamentary committees necessary?
Parliamentary committees are necessary because the functions of the Parliament are varied, complex, and numerous, and the Parliament does not have enough time or expertise to thoroughly scrutinize all legislative measures and other matters.
Does the Constitution of India provide specific provisions regarding the composition, tenure, and functions of parliamentary committees?
No, the Constitution of India mentions these committees at different places but does not make specific provisions regarding their composition, tenure, functions, etc. These matters are dealt with by the rules of the two Houses of Parliament.
What is the role of parliamentary committees in assisting the Parliament?
Parliamentary committees assist the Parliament in the discharge of its duties by conducting detailed scrutiny of legislative measures and other matters.
How are the composition, tenure, and functions of parliamentary committees determined?
The composition, tenure, and functions of parliamentary committees are determined by the rules of the two Houses of Parliament.
Why is it necessary for the Parliament to have committees?
The Parliament relies on committees because it does not have the necessary time or expertise to conduct in-depth examinations of all legislative measures and other matters on its own. Committees provide specialized knowledge and assistance in fulfilling the Parliament’s duties.
How are parliamentary committees differentiated?
Parliamentary committees are differentiated based on their work, membership, and tenure.
What are the two broad types of parliamentary committees?
The two broad types of parliamentary committees are Standing Committees and Ad Hoc Committees.
What is the nature of Standing Committees?
Standing Committees are permanent in nature and work on a continuous basis.
Name three types of Financial Committees under Standing Committees.
The three types of Financial Committees under Standing Committees are:
1.Public Accounts Committee
2.Estimates Committee
3.Committee on Public Undertakings
What are Departmental Standing Committees?
Departmental Standing Committees are permanent standing committees that focus on specific government departments.