Money Bills
Context:
- Recently there has been increase in the number of money bills that are being passed by the Parliament.
- For example, the recently proposed telecommunications bill, 2023 was introduced as money bill.
What is meant by Money Bills?
- It is defined under Article 110 as one consisting of provisions dealing with taxes, regulation of the government’s borrowing of money, and expenditure or receipt of money from the Consolidated Fund of India, among others.
- The procedure for the passage of such a Bill is detailed in Article 109.
- The same provision i.e, article 109 confers an overriding authority on the Lok Sabha in the passage of Money Bills.
- A Money Bill generally is a Financial Bill which is certified by the Speaker.
What is meant by Finance bills?
- In a usual sense, any Bill which is related to revenue or expenditure is called as Financial Bill.
- A money bill is also a classification of Finance bill but deals with the matters listed in Article 110 (1) (a) to (g).
- The special provisions relating to Financial Bills is in detail mentioned under Article 117.
- Under article 117 (1), it is mentioned that a Bill which makes provision for any of the matters listed in clauses (a) to (f) of Article 110 (1) can be introduced or moved only on the President’s recommendation and cannot be introduced in the Rajya Sabha.
- There is another category of Finance bills which is dealt under Article 117 (3) of the Constitution.
- These finance bills are more like ordinary Bills.
- The difference between this kind of Financial Bill and an ordinary Bill is that, financial bills will involve expenditure from the Consolidated Fund of India and they need president recommendation for its consideration.
- However, financial bills just like ordinary bills can even be introduced in the Rajya Sabha, amended by it, or be subjected to deliberation by both Houses in a joint sitting.
How are money and Financial Bills passed?
- Money bills can only be initiated in Lok sabha.
- The Rajya Sabha role in passing the Money bills is limited or restricted.
- After being passed by the Lok Sabha, they are generally sent to the Rajya Sabha for its recommendations.
- The Upper House must submit the Bill back to the Lower House with its non-binding recommendations within 14 days.
- If the Lok Sabha rejects the recommendations, the Bill is deemed to have passed by both Houses in the form in which it was passed by the Lok Sabha without the recommendations of the Rajya Sabha.
- Even if the Rajya Sabha doesn’t respond with its recommendations within 14 days, the same consequences would follow.
- Thus, when it comes to Money Bills, the Rajya Sabha only has a limited and recommendatory role.
- But, ordinary Bills and other Financial Bills do require the agreement of both Houses of Parliament to ensure their passage and enactment.
- They can be rejected or amended by the Rajya Sabha, different from Money Bills.
- Also, all other Financial Bills apart from Money Bills, should go through the all stages in the Rajya Sabha as ordinary Bills.
- It also implies that there is no provision for the joint sitting for differences over a Money Bill.
