Question

In the context of the Union Parliament, describe the Financial Powers of the Union Parliament.

Answer 1

Explanation:
Although the Union Parliament is known for its legislative functions. It also serves some crucial financial purposes as well. Mention these important financial powers.

Answer:
The financial powers of parliament are given below:

1. The Budget: The Parliament passes the annual Union Budget containing the estimates of receipts and expenditure of the government for a financial year. The Budget is presented in two parts, namely, the Railway Budget and the General Budget.
2. Supplementary Grants: If the amount authorised for the current financial year is not sufficient, the government may make a fresh demand known as the ‘Supplementary Grant’. It is also passed in the same manner as the Annual Budget is passed.
3. Fixation of Salaries: The salaries and allowances of MPs and Ministers are determined by the Parliament.
4. Permission for Taxes: No tax can be imposed or money spent by the government without the approval of the Parliament.