Indian Economy

Choose the Correct Answer

Correct Answer : Option c

Explanation
Statement 1 is correct: The Union Budget is defined as an annual financial statement under Article 112 of the Constitution of India. It is a detailed estimate of the government's expected receipts (income) and expenditure for the upcoming financial year.

Statement 2 is not correct: As per Article 110 of the Constitution, Finance Bill is introduced to give effect to the government's taxation proposals (to impose, abolish, or modify taxes). Hence, the government takes approval for taxes and other receipts through the Finance Bill, not the Appropriation Bill.

Statement 3 is not correct: According to Article 114 of the Constitution, the Appropriation Bill is introduced to seek approval from Parliament for incurring expenditure from the Consolidated Fund of India. Therefore, government expenditure is approved through the Appropriation Bill, not the Finance Bill.