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BiharMedium

In Bihar, a money bill, including the Appropriation Bill of the state budget, can be introduced only in:

  1. A.The Vidhan Parishad
  2. B.The Vidhan Sabha
  3. C.Either House
  4. D.A joint sitting of both Houses

Correct answer

B. The Vidhan Sabha

Explanation

The correct answer is B, The Vidhan Sabha. Bihar has a bicameral legislature, and a money bill as defined in Article 199 can be introduced only in the Vidhan Sabha, the lower House, and only on the recommendation of the Governor. The Vidhan Parishad can neither reject nor amend such a bill; it may only make recommendations and must return the bill within fourteen days, after which the bill is deemed to have been passed by both Houses.

Option A is wrong because the Vidhan Parishad has no power to initiate a money bill at all. Option C is wrong for the same reason: the choice of House is not open in the case of money bills, unlike ordinary bills. Option D is wrong because the Constitution provides no joint sitting for state legislatures, a provision that exists only for Parliament under Article 108. The fourteen-day limit for the upper House and the Governor’s recommendation are the two facts asked along with this question.

Read the full article: Economy and State Budget of Bihar: Sectors, Articles and Facts

Practice Questions

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Q1.BiharMedium

Under which Article of the Constitution is the annual financial statement, that is the budget, laid before the legislature of a state such as Bihar?

  1. A.Article 112
  2. B.Article 202
  3. C.Article 266
  4. D.Article 293
Show answer
Correct answer: B. Article 202

Article 202 requires the Governor to cause a statement of the estimated receipts and expenditure of the state for every financial year, called the annual financial statement, to be laid before the House or Houses of the legislature.

Q2.BiharMedium

Money withdrawn from the Consolidated Fund of Bihar after the demands for grants are voted is authorised by:

  1. A.A Finance Bill
  2. B.An Appropriation Bill
  3. C.A vote on account
  4. D.A supplementary demand
Show answer
Correct answer: B. An Appropriation Bill

Under Article 204 an Appropriation Bill is introduced after the Vidhan Sabha has voted the demands for grants, and it alone makes the withdrawal of money from the Consolidated Fund of the State lawful; no money may leave that fund except under an appropriation made by law.

Q3.BiharAsked in: Delhi · 2 Dec 2020, Shift 2Easy

In India, which of the following is NOT a type of budget?

  1. A.Balanced
  2. B.Surplus
  3. C.Losses
  4. D.Reserved
Show answer
Correct answer: D. Reserved

A budget is classified by the relation between receipts and expenditure, which gives three kinds only: a balanced budget, in which estimated receipts equal estimated expenditure; a surplus budget, in which receipts exceed expenditure; and a deficit budget, in which expenditure exceeds receipts.

Q4.BiharHard

The Contingency Fund of a State, from which the Chief Minister can meet unforeseen expenditure, is provided by which Article?

  1. A.Article 199
  2. B.Article 203
  3. C.Article 267(2)
  4. D.Article 280
Show answer
Correct answer: C. Article 267(2)

Article 267(2) allows the legislature of a state to establish a Contingency Fund of the State by law, placed at the disposal of the Governor, from which advances can be made for unforeseen expenditure pending authorisation by the legislature, the amount being recouped later through a supplementary demand.