Question 64 from UPSC CSE 2024 - Polity & Governan ce

Question

Which of the following statements are correct in respect of a Money Bill in the Parliament?
1. Article 109 mentions special procedure in respect of Money Bills.
2. A Money Bill shall not be introduced in the Council of States.
3. The Rajya Sabha can either approve the Bill or suggest changes but cannot reject it.
4. Amendment to a Money Bill suggested by the Rajya Sabha have to be accepted by the Lok Sabha.
Select the correct answer using the code given below:

IASCODEX · Accepted Answer

Correct Option: C. 1, 2, and 3

Strategy: - Identify special procedures for Money Bills in Article 109, confirming statement 1.
- Recognize that only Lok Sabha can introduce a Money Bill, validating statement 2.
- Acknowledge Rajya Sabha's role to recommend or approve, but not reject, a Money Bill, aligning with statement 3.
- Discard statement 4 as incorrect, since Rajya Sabha's suggested amendments are not binding on Lok Sabha.
- Conclude that only statements 1, 2, and 3 are correct.

Key Info: A Money Bill deals solely with matters listed in Article 110 of the Constitution, such as imposition, abolition, remission, alteration, or regulation of any tax, and related financial matters.

## Special Procedure (Article 109)

- A Money Bill can only be introduced in the Lok Sabha (House of the People), never in the Rajya Sabha (Council of States).
- After passing the Lok Sabha, it must be sent to the Rajya Sabha for recommendations, which are advisory only and must be returned within 14 days.
- The Rajya Sabha cannot amend or reject the Bill; it can only suggest changes.
- The Lok Sabha may accept or reject any or all recommendations. If recommendations are not accepted, or if Rajya Sabha fails to return the Bill within 14 days, it is deemed passed in its original form by both Houses.

The Speaker of Lok Sabha certifies a Money Bill--a decision that cannot be challenged in court. Examples of Money Bills include the annual Budget (Finance Bill). The underlying principle ensures the fiscal dominance of the popularly elected House over finances, restricting the upper House's role to an advisory capacity in such matters.

IASCODEX · Answer

Option A: 1 and 2 only

IASCODEX · Answer

Option B: 2 and 3 only

IASCODEX · Answer

Option D: 1, 3, and 4