New Enroll in RBI Grade B New Batch - Starts on May 21

    Question

    What is the difference between “vote-on-account” and

    “interim budget”? 1. The provision of a “vote-on-account” is used by a regular Government, while an “interim budget” is a provision used by a caretaker Government. 2. A “vote-on-account” only deals with the expenditure in the Government’s Budget, while an “interim budget” includes both expenditure and receipts. Which of the statements given above is/are correct?
    A 1 only Correct Answer Incorrect Answer
    B 2 only Correct Answer Incorrect Answer
    C Both 1 and 2 Correct Answer Incorrect Answer
    D Neither 1 nor 2 Correct Answer Incorrect Answer

    Solution

    Statement 1 is not correct : The Constitution has authorized the Lok Sabha to make any grant in advance in respect to the estimated expenditure for a part of the financial year, pending the completion of the voting of the demands for grants and the enactment of the Appropriation Bill. This provision is known as the ‘vote on account’. Statement 2 is correct : A “Vote-on-account” deals only with expenditure while interim budget both revenue and expenditure.

    Practice Next

    Relevant for Exams: