Q. The classification of bills as Money Bills has been a contentious issue in recent years. Examine the constitutional provisions regarding Money Bills and discuss how their interpretation impacts the balance of power between the two houses of Parliament.” (15 Marks, 250 Words)

Core Demand of the Question:

  • Examine the constitutional provisions regarding Money Bills.
  • Discuss how interpretation of Money Bill impacts the balance of power between the two houses of the Parliament.

 

Answer:

The classification of bills as Money Bills has become a contentious issue in India, sparking debates over constitutional interpretation, legislative processes, and the balance of power between the two houses of Parliament. This controversy has significant implications for democratic governance and the legislative authority of the Rajya Sabha.

The Classification of Bills as Money Bills has been a Contentious Issue:

  • Ambiguity in Definition: The definition of Money Bills under Article 110 is ambiguous, leading to disputes over what constitutes a Money Bill.
    For example: The Aadhaar Act was classified as a Money Bill, leading to legal challenges.
  • Bypassing Rajya Sabha: Money Bills can bypass the Rajya Sabha, which cannot amend or reject them. This has led to the perception that controversial bills are being classified as Money Bills to avoid scrutiny.
    For example: The Finance Act of 2017.
  • Judicial Review: The Speaker’s decision to certify a bill as a Money Bill is final, limiting judicial review. This has raised concerns about accountability and transparency in the legislative process.
    For instance: The Supreme Court’s involvement in the Aadhaar case.
  • Political Manipulation: There are accusations that the government classifies certain bills as Money Bills to ensure their passage without opposition, undermining democratic processes.
    For example: The amendments to the Prevention of Money Laundering Act (PMLA).
  • Public Trust: The misuse of Money Bill provisions can erode public trust in the legislative process, as it is perceived as a way to sidestep comprehensive debate and oversight.
    For example: The classification of the Electoral Bonds Scheme.

The Constitutional Provisions Regarding Money Bills:

  • Article 110: Article 110 of the Constitution defines what constitutes a Money Bill. It includes provisions dealing with taxation, borrowing of money by the government, and expenditure from the Consolidated Fund of India.
  • Lok Sabha Speaker’s Certification: The Speaker of the Lok Sabha has the authority to certify a bill as a Money Bill. This certification is final and cannot be questioned in any court.
    For example: The Speaker’s certification of the Aadhaar Bill, 2016.
  • Rajya Sabha’s Limited Role: The Rajya Sabha cannot amend or reject a Money Bill. It can only make recommendations, which the Lok Sabha may accept or reject.
    For example: The Finance Bill of 2017.
  • President’s Assent: The President can either approve or reject a Money Bill but cannot return it for reconsideration
  • No Joint Sitting: There is no provision for a joint sitting of both Houses to resolve differences on a Money Bill. This limits the legislative influence of the Rajya Sabha.
    For instance: The lack of joint discussion on key financial legislation.

The Impact of Money Bills on the Legislative Power Balance in Indian Parliament:

  • Dominance of Lok Sabha: Classifying bills as Money Bills strengthens the Lok Sabha’s dominance since the Rajya Sabha’s role is reduced to a consultative one.
    For instance: The quick passage of the Aadhaar Bill.
  • Marginalisation of Rajya Sabha: The Rajya Sabha’s inability to amend or reject Money Bills can marginalise its role in the legislative process, impacting its effectiveness in representing state interests.
    For example: The Finance Bill 2017 bypassed substantial Rajya Sabha debate.
  • Executive Overreach: Frequent use of Money Bill classification can be seen as executive overreach, undermining the checks and balances intended by a bicameral legislature.
    For example: The amendments to the PMLA.
  • Judicial Challenges: The judiciary’s involvement in determining the validity of Money Bills reflects the contentious nature of their classification, affecting the legislative process
  • Democratic Accountability: The contentious classification of Money Bills raises concerns about democratic accountability and transparency, as it limits comprehensive legislative scrutiny.
    For example: The public debate on the Electoral Bonds Scheme.

The classification of bills as Money Bills remains a contentious issue, highlighting the need for clearer constitutional guidelines and judicial scrutiny to ensure a balanced legislative process. Addressing these challenges is crucial for maintaining democratic integrity and effective governance in India.

 

To get PDF version, Please click on "Print PDF" button.

Need help preparing for UPSC or State PSCs?

Connect with our experts to get free counselling & start preparing

THE MOST
LEARNING PLATFORM

Learn From India's Best Faculty

      
Quick Revise Now !
AVAILABLE FOR DOWNLOAD SOON
UDAAN PRELIMS WALLAH
Comprehensive coverage with a concise format
Integration of PYQ within the booklet
Designed as per recent trends of Prelims questions
हिंदी में भी उपलब्ध
Quick Revise Now !
UDAAN PRELIMS WALLAH
Comprehensive coverage with a concise format
Integration of PYQ within the booklet
Designed as per recent trends of Prelims questions
हिंदी में भी उपलब्ध

<div class="new-fform">







    </div>

    Subscribe our Newsletter
    Sign up now for our exclusive newsletter and be the first to know about our latest Initiatives, Quality Content, and much more.
    *Promise! We won't spam you.
    Yes! I want to Subscribe.