UPSC Prelims 2024 Question on Union Budget – Annual Financial Statement
Q. With reference to the Union Budget, consider the following statements:
1. The Union Finance Minister, on behalf of the Prime Minister, lays the Annual Financial Statement before both the Houses of Parliament.
2. At the Union level, no demand for a grant can be made except on the recommendation of the President of India.
Which of the statements given above is/are correct?
✅ Correct Answer: (c) Both 1 and 2
Explanation:
Statement 1 — (Marked correct): Article 112 of the Constitution requires that the Annual Financial Statement (the Union Budget) be laid before both Houses of Parliament. In practice the Union Finance Minister places the Budget in Parliament. (Note: constitutionally the President is the authority who causes the Annual Financial Statement to be laid; the Finance Minister places it in Parliament—some answer keys treat the practical formulation as correct.)
Statement 2 — Correct: Article 113 provides that no demand for a grant shall be made in the Lok Sabha except on the recommendation of the President.
Therefore, both statements (as commonly interpreted in question papers / official keys) are treated as correct.
