Question

Which one of the following statements about Money Bill is correct?

• A. A Bill shall be deemed to be a Money Bill only if it provides for imposition of fines or penalties
• B. A Money Bill shall be introduced to the Rajya Sabha
• C. The Rajya Sabha can reject the Money Bill
• D. The Speaker of the Lok Sabha finally decides if it is a Money Bill, should any dispute about it arise

Answer 1

Answer: (D)

The Speaker of the Lok Sabha finally decides if it is a Money Bill, should any dispute about it arise

The Speaker of Lok Sabha decides whether a bill is a Money Bill or not. A Money Bill can be introduced in Lok Sabha only. Rajya Sabha has no power to reject a money bill, it can approve the bill or suggest changes which may or may not be eventually accepted by the Lok Sabha. Also. the bill must be returned to the Lok Sabha within 14 days, or the bill is deemed to have passed both houses in the form it was originally passed by the Lok Sabha.

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 or 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.