Consider the following statements:
In India, whether the expenditure is charged on the Consolidated Fund of India or it is an amount voted by the Lok Sabha, no money can be issued out of the Consolidated Fund of India unless the expenditure is authorized by an Appropriation Act.
The Rajya Sabha has no power of amending or rejecting the Appropriation Bill or the Annual finance Bill.
The Rajya Sabha has no further business with the annual financial statement beyond the general discussion.
Which of the statements given above are correct?
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1,2 and 3
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Only 1 and 2
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Only 2 and 3
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Only 1 and 3
A
Correct answer
Explanation
Statement 1 is correct: Article 266 of the Constitution mandates that no money can be withdrawn from the Consolidated Fund without Parliamentary authorization through an Appropriation Act. Statement 2 is correct: Rajya Sabha has no power to amend or reject Money Bills including the Appropriation Bill - it can only make recommendations which Lok Sabha may reject. Statement 3 is correct: Rajya Sabha's role in the budget process is limited to general discussion; it cannot amend the Annual Financial Statement. All three statements accurately reflect Rajya Sabha's limited financial powers.