MONEY BILL: POLITY & GOVERNANCE
WHY IN NEWS? -
SC to hear petitions against passing
laws as Money bills:
The Government takes contentious
routes for passing legislations as money bills in parliament
1.Amendment to the prevention of Money laundering act
2.The finance act, 2017
3.Aadhar
act ,2016
What is a Money bill?
Article 110 of the constitution provides definition
of money bill
In India, a Money Bill is a type of legislation that relates to the
appropriation of money from the Consolidated Fund of India, which is the main
fund of the government.
- Money Bills are typically related to financial matters such as
taxation, public expenditure, and public debt.
According to the Constitution of India Article 110(1), a bill is
considered a Money Bill if it contains only provisions dealing with all or any
of the following matters:
a) The imposition, abolition, remission, alteration, or regulation of
any tax.
b) The regulation of the borrowing of money or the giving of any
guarantee by the Government of India.
c) The custody of the Consolidated Fund or the Contingency Fund of
India, the payment of money into or the withdrawal of money from any such fund.
d) The appropriation of money out of the Consolidated Fund of India.
e) The declaring of any expenditure to be expenditure charged on the
Consolidated Fund of India or the increasing of the amount of any such
expenditure.
f) The receipt of money on account of the Consolidated Fund of India or
the public account of India or the custody or issue of such money.
g) Any matter incidental to any of the matters specified above.
The Constitution lays out a special procedure for the passing of money
bills in Parliament ( Article 109 : upsc prelims 2024)
- Money
bills can only be introduced in the Lok Sabha and
only with the recommendation of the President.
- Money
bills are considered government bills and can only be introduced by a
minister.
- After
a money bill is passed by the Lok Sabha, it is transmitted to the Rajya
Sabha for consideration. The Rajya Sabha has limited powers with regard to
money bills and can only make recommendations and cannot reject or amend
the bill.
- The Rajya
Sabha must return the bill to the Lok Sabha within 14 days, with or
without recommendations. The Lok Sabha can accept or reject any
recommendations made by the Rajya Sabha.
- If the
Lok Sabha accepts any recommendations, the bill is deemed to have been
passed by both Houses in the modified form.
- If
the Lok Sabha does not accept any recommendations, the bill is deemed to
have passed by both Houses in the form originally passed by the Lok Sabha
without any change.
- If
the Rajya Sabha does not return the bill to the Lok Sabha within 14 days,
the bill is deemed to have been passed by both Houses in the form
originally passed by the Lok Sabha.
- The Lok
Sabha has more powers than the Rajya Sabha with regard to money bills.
- When
a money bill is presented to the President, he may give or withhold his
assent to the bill but cannot return the bill for reconsideration.
- The
President normally gives assent to a money bill as it is introduced in the
Parliament with his prior permission.
Source:https://www.thehindu.com/news/national/supreme-court-to-consider-setting-up-bench-to-hear-pleas-against-passage-of-laws-as-money-bills/article68405773.ece