Question

As per Article 112 of the Constitution of India, Annual Financial Statement includes

• A. A statement of the estimated receipts and the expenditure of the Government of India for that year
• B. A statement of the total receipts and the total expenditure of the Government of India for that year
• C. A statement of the total cost of infrastructural expenditure of the Government of India for that year
• D. A statement of the total cost of overall expenditure of the Government of India for that year

Answer 1

The Correct Option is A

Article 112 of the Constitution of India is pivotal as it mandates the President to lay before both Houses of Parliament an Annual Financial Statement, commonly known as the Union Budget. This statement is crucial for fiscal accountability and transparency. It contains the following main components:

• Estimated Receipts: This encompasses a detailed projection of the Government's anticipated income. It includes tax revenues, non-tax revenues, capital receipts, loans, and borrowings.
• Estimated Expenditure: This outlines the expected spending by the Government. It covers areas such as defense, education, health, subsidies, and administrative expenses.

Given these details, the correct interpretation of the Annual Financial Statement as per Article 112 is: A statement of the estimated receipts and the expenditure of the Government of India for that year. Thus, the correct option is:

• A statement of the estimated receipts and the expenditure of the Government of India for that year