1. The Department of Revenue is responsible for the preparation of Union Budget that is presented to the Parliament.
2. No amount can be withdrawn from the Consolidated Fund of India without the authorization from the Parliament of India.
3. All the disbursements made from Public Account also need the authorization from the Parliament of India.
Which of the statements given above is / are correct?
Correct Answer: (c) 2 only
Solution:- The department of economic affairs under the ministry of finance is responsible for the preparation of union Budget that is presented to the parliament.
- Consolidated fund of India is a fund to which all receipts are credited and all payments are debited.
- No money can be appropriated (issued or drawn) out of the consolidated fund of India without the authorization from the parliament of India.
Public account of India is operated by executive action, that is, the payments from this account can be made without parliamentary appropriation. Such payments are mostly in the nature of banking transactions.