Context- The Lok Sabha passed the Finance Bill, 2024 by voice vote.
About
- The House additionally accredited the Appropriation Bill authorising the government to fulfill expenses for four months in the next monetary year.
- An Appropriation Bill is a critical piece of regulation, which authorizes the government to spend public money permitted in the annual finances.
- It allows certain responsibility and transparency with the aid of requiring parliamentary acclaim for spending and forestalls unauthorized withdrawals from the Consolidated fund of India.
- The lower house additionally accredited the Rs 1.8 lakh crore budget of the Union Territory of Jammu and Kashmir.
Finance Bill
- A Finance Bill is a Money Bill as described in Article 110 of the Constitution.
- While all Money Bills are Financial Bills, all Financial Bills are not Money Bills.
- For example, the Finance Bill which most effective carries provisions associated with tax proposals might be a Money Bill.
- However, a Bill that incorporates a few provisions associated with taxation or expenditure, however also covers different topics would be taken into consideration as a Financial Bill.
- Therefore, if a Bill simply includes expenditure by using the government, and addresses other troubles, it’ll be a monetary invoice.
- It is introduced annually within the Lok Sabha (lower house of parliament) after the Union Budget presentation.
- It embodies the government’s budgetary proposals for taxation, spending, and different economic matters.
- The proposals of the government for levy of new taxes, modification of the prevailing tax shape or continuance of the existing tax shape past the length authorized by Parliament are submitted to Parliament thru this bill.
- The Finance Bill is accompanied by a Memorandum containing explanations of the provisions included in it.
- The Finance Bill can be introduced only in Lok Sabha.
- However, the Rajya Sabha can advise amendments within the Bill.
- It calls for approval from each house of parliament earlier than becoming law.
- The invoice needs to be handed via the Parliament within 75 days of its introduction.
Key Features of the 2024 Finance Bill
- No trade in Income Tax: Due to the upcoming general elections in April-May 2024, the invoice makes a speciality of keeping the present tax structure for the economic year 2024-2025.
- Focus on certain reliefs: Some minor tax reliefs are included for specific sectors or categories of taxpayers.
- Measures to boost economic increase: Include provisions for infrastructure improvement, investment advertising, and ease of doing enterprise reforms.
- Fiscal consolidation: The government pursuits to reduce the monetary deficit through featuring measures to govern spending or increase revenue.
Source: The Hindu
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