With reference to Finance Bill and Money Bill in the Indian Parliament, consider the following statements:
- When the Lok Sabha transmits Finance Bill to the Rajya Sabha, it can amend or reject the Bill.
- When the Lok Sabha transmits Money Bill to the Rajya Sabha, it cannot amend or reject the Bill, it can only make recommendations.
- 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?
- Only one
- Only two
- All three
- None
Explanation
Statement 2 is correct
- The role of the Rajya Sabha in passing Money Bills is restricted. Such Bills can originate only in the Lok Sabha. Once a Money Bill is passed by the Lok Sabha, it is sent to the Rajya Sabha for its recommendations. The Rajya Sabha must return the Bill within 14 days, along with its non-binding suggestions. If the Lok Sabha rejects these recommendations, the Bill is deemed passed by both Houses in the original form approved by the Lok Sabha. Even if the Rajya Sabha fails to return the Bill within 14 days, the Bill is deemed passed in the same manner. Therefore, in the case of Money Bills, the Rajya Sabha holds only an advisory role.
Statement 1 is correct
- Ordinary Bills and certain Financial Bills require agreement from both Houses of Parliament for passage, meaning the Rajya Sabha can reject or amend them. While the Rajya Sabha cannot alter Money Bills (Art. 110), it has equal power over Ordinary and Financial Bills, with deadlocks resolvable through joint sittings.
Statement 3 is incorrect
- The President can summon (does not become necessary) a joint sitting of both Houses to resolve differences over a deadlock. There is no provision for a joint sitting for differences over a Money Bill.
