2018 GS Paper I, all questions

UPSC Prelims 2018 · GS Paper I

Question 31: Polity and Governance

Regarding Money Bill, which of the following statements is not correct ?

aA bill shall be deemed to be a Money Bill if it contains only provisions relating to imposition, abolition, remission, alteration or regulation of any tax.
bA Money Bill has provisions for the custody of the Consolidated Fund of India or the Contingency Fund of India.
cA Money Bill is concerned with the appropriation of moneys out of the Contingency Fund of India.
dA Money Bill deals with the regulation of borrowing of money or giving of any guarantee by the Government of India.

AnswerUPSC’s answer is (c).

Article 110 defines a Money Bill. A bill is deemed a Money Bill only if it contains solely provisions on matters such as imposition or regulation of tax, regulation of borrowing and guarantees, custody of the Consolidated Fund or Contingency Fund and payments into or out of them, and appropriation of moneys out of the Consolidated Fund of India. Option (c) is the incorrect statement because it names the Contingency Fund for appropriation; Article 110 speaks of appropriation out of the Consolidated Fund.

Why each option is right or wrong
  • (a) Correct: Article 110 requires that the bill contain only listed matters, and tax is the first.
  • (b) Correct: custody of the Consolidated Fund or Contingency Fund is a listed matter.
  • (c) Right (the incorrect statement): appropriation under Article 110 is out of the Consolidated Fund, not the Contingency Fund.
  • (d) Correct: regulation of borrowing and of guarantees is a listed matter.

Answer: UPSC’s key. Explanation: written by UPSC Grade, not by UPSC.

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Source: UPSC, Civil Services (Preliminary) Examination 2018, General Studies Paper I, Series A. The paper on upsc.gov.in.