Part V - Parliament • Article

Article 114 Simplified: Appropriation Bills

Article 114 is the 'Checkbook Rule.' Even if the Lok Sabha approves the Budget, the government cannot take a single rupee out of the nation's bank (Consolidated Fund) until they pass a special law called the Appropriation Bill. This ensures the government doesn't spend more than what was agreed.

Official Text

(1) As soon as may be after the grants under article 113 have been made by the House of the People, there shall be introduced a Bill to provide for the appropriation out of the Consolidated Fund of India of all moneys required to meet— (a) the grants so made by the House of the People; and (b) the expenditure charged on the Consolidated Fund of India but not exceeding in any case the amount shown in the statement previously laid before Parliament. (2) No amendment shall be proposed to any such Bill in either House of Parliament which will have the effect of varying the amount or altering the destination of any grant so made or of varying the amount of any expenditure charged on the Consolidated Fund of India, and the decision of the person presiding as to whether an amendment is inadmissible under this clause shall be final. (3) Subject to the provisions of articles 115 and 116, no money shall be withdrawn from the Consolidated Fund of India except under appropriation made by law passed in accordance with the provisions of this article.

Simple Meaning

Article 114 is the 'Checkbook Rule.' Even if the Lok Sabha approves the Budget, the government cannot take a single rupee out of the nation's bank (Consolidated Fund) until they pass a special law called the Appropriation Bill. This ensures the government doesn't spend more than what was agreed.

Explain Like Ten

Think of the Consolidated Fund as a giant national piggy bank. Even if the Lok Sabha agrees to the government's plans, the government can't take a single coin out of the bank until they pass a special law called the Appropriation Bill. It acts like a key to unlock the piggy bank.

Student Mode

Article 114 mandates the introduction of the Appropriation Bill after the Lok Sabha votes on the Demands for Grants. This Bill provides the legal authority to withdraw money from the Consolidated Fund of India to meet: (a) voted grants and (b) charged expenditure. No amendment can be proposed to the Appropriation Bill that varies the amount or alters the destination of any grant. Article 114(3) strictly states that no money can be withdrawn from the Consolidated Fund except under an appropriation law.

Example

After voting on Demands for Grants is complete, Parliament passes the Appropriation Bill. Under Article 114, this law legally unlocks the Consolidated Fund, allowing the government to pay salaries and fund projects after April 1st.

Key Takeaway

The government cannot spend money without a specific legal authorization.

FAQs

What is an Appropriation Bill?

It is a bill that, once passed by Parliament and assented to by the President, becomes an Act authorizing the government to withdraw funds from the Consolidated Fund of India to meet its budgeted expenses.

Can amendments be made to the Appropriation Bill to change the amount of a grant?

No. Article 114(2) prohibits any amendment in either House that would change the amount or alter the destination of any grant already voted on under Article 113.

What happens if the Appropriation Bill is not passed?

Since no money can be withdrawn without it, the government would run out of funds and face a shutdown. Therefore, defeat of the Appropriation Bill in the Lok Sabha represents a loss of confidence, requiring the government to resign.

Quiz

No money can be withdrawn from the Consolidated Fund of India except under:

Answer: An Appropriation Act

Can amendments be proposed to change the destination of a grant in the Appropriation Bill?

Answer: No, it is strictly prohibited

Related Topics

  • Article 113
  • Article 266