Union Finance Minister Nirmala Sitharaman will present the Union Budget 2023 in Parliament on February 1, 2023.
This is also Nirmala Sitharaman’s sixth budget presentation as Finance Minister. The 2023-24 budget session is the last full Union Budget to be presented by the Modi government. The Lok Sabha elections will be held in early 2024 and the interim budget will be presented next year.
Union Finance Minister @nsitharaman arrives at Parliament to present #UnionBudget 2023-24
Stay tuned for the highlights and watch the #AmritKaalBudget Speech here⬇️https://t.co/98WziRP2dK#UnionBudget2023 pic.twitter.com/CDCVtuTtG4
—PIB India (@PIB_India)
February 1, 2023
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It’s common to get confused between provisional budget and vote on account, as they sometimes represent the same thing, but as the new budget approaches on February 1, 2023, it’s even more crucial to find out what exactly each means and what the difference is. . among them.
Although there are some fundamental differences between the vote on account and the interim budget, some may find them similar as they are both crucial parts of our constitution and provide an essential function in ensuring that the government has adequate funds to carry out its regular activities. They are mainly used to take into account the expenses of the ruling government.
Most of India’s revenue is retained through India’s consolidated fund and this subsidy usually lasts for two months until the new financial year begins. It is noted that the provisional budget is usually launched during an election year or a transition period.
The main difference between a vote on the bill and a provisional budget is that the vote on the bill cannot affect the tax regime, while the provisional budget can affect or change it.
People may use these terms interchangeably, but let’s find out in detail how they differ significantly.
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What is the provisional budget?
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The Government presents a provisional budget to Parliament in case it does not have time to present the full budget. This usually happens when elections are approaching and the Budget is going to be presented before the vote takes place. It is only justified if the Government of the Government presents the Budgets.
In this way, the Government in action would have the rights until the end of the year and not the outgoing Government.
When the new government draws up a new budget, it can change or follow the estimates set out in the interim budget as it sees fit.
However, it is presented for the entire year as a regular budget. In the Interim Budget, the Election Commission binds the Government to various policies that cannot lead to influencing the general public before voting begins.
What is vote by account?
It is passed through the provisional budget and allows the Government to cover small expenses before the elections take place. It is approved as a convention and no discussion as such takes place in it. It is like an upfront subsidy that the government needs to function until such time as a subsidy demand is voted on and the Finance Bill and Appropriations Bill are passed.
Difference between provisional budget and vote on account
Provisional budget |
Vote by account |
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When elections approach, it is not practical to present a full budget, so the government presents an interim budget. |
Voting on account is a provision by which the government seeks approval from Parliament to obtain funds that are sufficient to cover expenses until a new government is formed. |
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The provisional budget consists of both expenses and income. |
A vote on account lists only the expenses borne by the government. |
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It has to be discussed in the Lok Sabha and then approved. |
A vote on account is treated as a formal matter, so the Lok Sabha can approve it without discussion. |
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The Government of India also has the power to make changes in the tax regime in the interim budget. |
The Vote on Account cannot change Direct Taxes at any cost. Any modification of direct taxes can only be achieved through the approval of the Finance Bill. |
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It is like a budget for the transition period (when there are a few months left for the Government to remain in power) |
The vote on account can be approved through the provisional budget. |
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A provisional budget is valid for an entire year. |
A vote on account is usually valid for 2 months. |
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Bottom line
The key difference between the vote on account and the provisional budget is that
- The vote on account contains only government expenditures, while the provisional budget deals with receipts and payments.
- The vote on account is valid for two months, while the provisional budget is a budget for the period of change when the elections approach.
Read also| What is the difference between money bill and finance bill?
What is the difference between Lok Sabha and Rajya Sabha?
Categories: Optical Illusion
Source: ptivs2.edu.vn