With reference to Finance Bill and Money Bill in the Indian Parliament, consider the following statements : 1. When the Lok Sabha transmits Finance Bill to the Rajya Sabha, it can amend or reject the Bill. 2. When the Lok Sabha transmits Money Bill to the Rajya Sabha, it cannot amend or reject the Bill, it can only make recommendations. 3. In the case of disagreement between the Lok Sabha and the Rajya Sabha, there is no joint sitting for Money Bill, but a joint sitting becomes necessary for Finance Bill. How many of the above statements are correct?
- (a) Only one
- (b) Only two ✓ UPSC's answer
- (c) All three
- (d) None
Why the answer is (b)
• A Money Bill (Article 110) deals only with taxation, borrowing and Consolidated Fund matters; a Finance Bill contains those plus other provisions, and Finance Bills of categories II and III are treated like ordinary bills in the Rajya Sabha.
• Statement 1 is correct: the Rajya Sabha can amend or reject such a Finance Bill.
• Statement 2 is correct: for a Money Bill the Rajya Sabha can only recommend changes within 14 days; it cannot amend or reject.
• Statement 3 is wrong: while there is indeed no joint sitting for a Money Bill, a joint sitting for a Finance Bill is possible (Article 108) but not 'necessary' — it is convened only if the President so notifies.
• Hence two statements, option (b).
Why the other options are wrong
- (a) Only one
- Both statements 1 and 2 are correct, so the count is two.
- (c) All three
- Statement 3 is wrong: a joint sitting for a Finance Bill is optional, not necessary.
- (d) None
- Statements 1 and 2 are correct.
Asked in the GS Paper I of the UPSC Civil Services Preliminary Examination 2023, held on 28 May 2023. Question and answer key: Union Public Service Commission. Explanation: UPSC Answer Check.