Money Bills Archives - Tax Heal https://www.taxheal.com/tag/money-bills Complete Guide for Income Tax and GST in India Tue, 09 Aug 2016 04:48:20 +0000 en-US hourly 1 https://wordpress.org/?v=7.1.3 GST debate over money versus financial Bills https://www.taxheal.com/gst-debate-over-money-versus-financial-bills.html https://www.taxheal.com/gst-debate-over-money-versus-financial-bills.html#respond Tue, 09 Aug 2016 04:48:20 +0000 http://taxheal.com/?p=13410 The Aadhaar Bill had done so. Now, the yet- to- be- framed Bills on a national goods and services tax (GST) have stirred a debate, over money Bills versus financial Bills. In a debate on the constitutional amendment in the Rajya Sabha on Thursday, the Congress party wanted Finance Minister Arun Jaitley to commit that… Read More »

]]> The Aadhaar Bill had done so. Now, the yet- to- be- framed Bills on a national goods and services tax (GST) have stirred a debate, over money Bills versus financial Bills. In a debate on the constitutional amendment in the Rajya Sabha on Thursday, the Congress party wanted Finance Minister Arun Jaitley to commit that the subsequent GST legislations would be tabled as financial Bills and not as money Bills. He was noncommittal, on the ground that these were yet to be prepared. The Rajya Sabha has no power to amend a money Bill and the ruling coalition does not have a majority in there. The Congress argued no constitutional provision made it mandatory for a finance minister to bring a Bill as a money Bill. A day after, Jaitley had told apress conference the Constitutional provisions in Articles 110 and 117 on the two terms were clear. “ The word used in Article 110 is ‘ shall be,’ that is what shall be deemed to be a money Bill. I can’t convert a constitutional requirement into my own option,” he had said. Meaning, certain Bills have to be brought in Parliament as money Bills. Article 110 (1) defines a money Bill. A Bill, it says, shall be so deemed if it deals only with revenue raising and expenditure at the central or state levels or results in money going into or withdrawal of money from the Consolidated Fund of India. A Bill that contains some provisions related to taxation and expenditure and additionally has those related to any other matter is called a Financial Bill. Constitution expert Subhash C Kashyap said the current debate is like putting the cart before the horse, as the GST Bills are yet to be framed. Though the government has come out with a draft model GST Bill, the GST Council which would give recommendations on these is yet to be set up. It would come up only after at least half the states ratify the Constitutional amendment and President Pranab Mukherjee gives his assent. Kashyap said bills having revenue raising measures and expenditure have to come as a money Bill. The simplest example is the Union Budget, called an annual fiancial statement in constitutional language. It has to be brought as a money Bill. As the Rajya Sabha does not have power to change a money Bill, Kashyap said the debate was more political in nature. Constitution expert Yogendra Narain said it was for the Lok Sabha speaker and her secretariat to decide whether a Bill is a money Bill or not, non else. Article 110 (3) of the Constitution makes this clear. – www.business-standard.com[08-08-2016]

]]> https://www.taxheal.com/gst-debate-over-money-versus-financial-bills.html/feed 0 What is Money Bills and Procedure of Money Bills https://www.taxheal.com/what-is-money-bills-and-procedure-of-money-bills.html https://www.taxheal.com/what-is-money-bills-and-procedure-of-money-bills.html#comments Sat, 06 Aug 2016 11:11:57 +0000 http://taxheal.com/?p=13325 Money Bills Definition of Money Bills as per  Section – 110 of Constitution of India 1950 110. (1) For the purposes of this Chapter, a Bill shall be deemed to be a Money Bill if it contains only provisions dealing with all or any of the following matters, namely— (a) the imposition, abolition, remission, alteration… Read More »

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Money Bills

Definition of Money Bills as per  Section – 110 of Constitution of India 1950

110. (1) For the purposes of this Chapter, a Bill shall be deemed to be a Money Bill if it contains only provisions dealing with all or any of the following matters, namely—

(a) the imposition, abolition, remission, alteration or regulation of any tax;
(b) the regulation of the borrowing of money or the giving of any guarantee by the Government of India, or the amendment of the law with respect to any financial obligations undertaken or to be undertaken by the Government of India;
(c) the custody of the Consolidated Fund or the Contingency Fund of India, the payment of moneys into or the withdrawal of moneys from any such fund;
(d) the appropriation of moneys out of the Consolidated Fund of India;
(e) the declaring of any expenditure to be expenditure charged on the Consolidated Fund of India or the increasing of the amount of any such expenditure;
(f) the receipt of money on account of the Consolidated Fund of India or the public account of India or the custody or issue of such money or the audit of the accounts of the Union or of a State; or
(g) any matter incidental to any of the matters specified in sub-clauses (a) to (f).

(2) A Bill shall not be deemed to be a Money Bill by reason only that it provides for the imposition of fines or other pecuniary penalties, or for the demand or payment of fees for licenses of fees for services rendered, or by reason that it provides for the imposition, abolition, remission, alteration or regulation of any tax by any local authority or body for local purposes.

(3) If any question arises whether a Bill is a Money Bill or not, the decision of the speaker of the House of the People thereon shall be final.

(4) There shall be endorsed on every Money Bill when it is transmitted to the Council of States under article 109, and when it is presented to the President for assent under article 111, the certificate of the Speaker of the House of the People signed by him that it is a Money Bill.

Special procedure in respect of Money Bills as per Section – 109 of Constitution of India 1950

109. (1) A Money Bill shall not be introduced in the Council of States.

(2) After Money bill has been passed by the House of the People it shall be transmitted to the Council of States for its recommendations and the Council of States shall within a period of fourteen days from the date of its receipt of the Bill return the Bill to the House of the People with its recommendations and the House of the People may thereupon either accept or reject all or any of the recommendations of the Council of States.

(3) If the House of the People accepts any of the recommendations of the Council of States, the Money Bill shall be deemed to have been passed by both Houses with the amendments recommended by the Council of States and accepted by the House of the People.

(4) If the House of the People does not accept any of the recommendations of the Council of States, the MoneyBill shall be deemed to have been passed by both Houses in the form in which it was passed by the House of the People without any of the amendments recommended by the Council of States.

(5) If a Money Bill passed by the House of the People and transmitted to the Council of States for its recommendations is not returned to the House of the People within the said period of fourteen days, it shall be deemed to have been passed by both Houses at the expiration of the said period in the form in which it was passed by the House of the People.

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