Kinds of Bills in the Indian Parliament

 

A Bill is a legislative proposal introduced in Parliament with the objective of making a new law, amending an existing law, or repealing an existing law. A Bill becomes an Act only after it is passed by Parliament and receives the assent of the President, subject to the special procedure applicable to Constitutional Amendment Bills.


Under the Constitution of India, Bills can broadly be classified into four major categories:


1. Ordinary Bill

2. Money Bill

3. Financial Bill

4. Constitution Amendment Bill


Bills can also be classified on the basis of the person who introduces them as Government Bills and Private Members’ Bills.


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1. Ordinary Bill


An Ordinary Bill is a Bill that deals with matters other than those specifically covered by a Money Bill or a Constitution Amendment Bill.


An Ordinary Bill can be introduced in either House of Parliament—Lok Sabha or Rajya Sabha. It may be introduced by a Minister or by a private member.


For an Ordinary Bill to become law, it must be passed by both Houses of Parliament in the same form. Both Houses have equal legislative powers regarding an Ordinary Bill.


If there is a disagreement between the two Houses, a joint sitting of Parliament may be summoned by the President under Article 108, subject to the constitutional conditions.


The President has the power to:


- Give assent to the Bill;

- Withhold assent; or

- Return the Bill for reconsideration, if it is not a Money Bill.


However, if Parliament passes the returned Bill again, the President cannot withhold assent.


Important Exam Facts


Constitutional provision: Articles 107, 108 and 111

Introduction: Either House

President's recommendation: Generally not required for introduction

Joint sitting: Possible in case of a deadlock

Rajya Sabha: Has equal legislative power with Lok Sabha


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2. Money Bill


A Money Bill is a special category of Bill defined under Article 110 of the Constitution.


A Bill is considered a Money Bill only if it contains provisions dealing exclusively with matters specified in Article 110, such as:


- Imposition, abolition, remission, alteration or regulation of taxation;

- Regulation of borrowing by the Government of India;

- Custody of the Consolidated Fund of India or the Contingency Fund of India;

- Appropriation of money out of the Consolidated Fund of India;

- Declaration of expenditure as charged on the Consolidated Fund;

- Receipt or custody of money into the Consolidated Fund or Public Account of India;

- Audit of the accounts of the Union or a State; and

- Matters incidental to these subjects.


A Money Bill can be introduced only in the Lok Sabha.


Moreover, it can be introduced only with the prior recommendation of the President.


The role of the Rajya Sabha in relation to a Money Bill is limited. After the Lok Sabha passes a Money Bill, it is sent to the Rajya Sabha. The Rajya Sabha may make recommendations, but the Lok Sabha is not bound to accept those recommendations.


The Rajya Sabha must return the Money Bill to the Lok Sabha within 14 days. If it does not return the Bill within 14 days, the Bill is deemed to have been passed by both Houses in the form in which it was passed by the Lok Sabha.


There is no provision for a joint sitting of Parliament for a Money Bill.


The Speaker of the Lok Sabha decides whether a Bill is a Money Bill, and the Speaker's decision on this matter is constitutionally final under Article 110.


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3. Financial Bill


A Financial Bill is a Bill dealing with financial matters, but it is broader than a Money Bill.


Financial Bills are dealt with primarily under Article 117 of the Constitution.


There are different categories of Financial Bills.


Financial Bill under Article 117(1)


A Bill that contains provisions dealing with one or more matters specified in Article 110, along with other matters, is a Financial Bill under Article 117(1).


Such a Bill:


- Can be introduced only in Lok Sabha;

- Requires the recommendation of the President for introduction;

- Cannot be introduced in Rajya Sabha; and

- Is not treated as a Money Bill.


Unlike a Money Bill, the Rajya Sabha has a substantially stronger role in passing a Financial Bill.


Financial Bill under Article 117(3)


A Bill which, if enacted, would involve expenditure from the Consolidated Fund of India cannot be passed by either House unless the President has recommended consideration of the Bill.


Such a Bill may originate in either House.


The key distinction is that a Financial Bill is not necessarily a Money Bill merely because it contains financial provisions.


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4. Constitution Amendment Bill


A Constitution Amendment Bill is introduced for the purpose of amending the Constitution of India.


The procedure is primarily provided under Article 368.


A Constitution Amendment Bill can be introduced in either House of Parliament. It can be introduced by a Minister or by a private member.


Unlike a Money Bill or certain Financial Bills, the prior recommendation of the President is not required for introducing a Constitution Amendment Bill.


The Bill must normally be passed in each House by a special majority, meaning:


- A majority of the total membership of that House; and

- A majority of not less than two-thirds of the members present and voting.


For certain constitutional amendments affecting the federal structure or specified constitutional provisions, ratification by the legislatures of at least one-half of the States is also required.


There is no provision for a joint sitting to resolve a deadlock on a Constitution Amendment Bill.


After a Constitution Amendment Bill has been duly passed according to Article 368, the President shall give assent to the Bill.


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Government Bill and Private Member's Bill


Apart from the above classification based on subject matter, Bills can also be classified according to who introduces them.


Government Bill


A Government Bill is a Bill introduced in Parliament by a Minister on behalf of the government.


Most important legislative proposals introduced by the government are Government Bills.


Private Member's Bill


A Private Member's Bill is a Bill introduced by a member of Parliament who is not a Minister.


Such a Bill can be introduced by a member of either House, subject to the applicable constitutional and parliamentary rules.


The introduction of a Private Member's Bill does not necessarily mean that the Bill is sponsored by a private organisation. The term simply refers to an MP who is not a Minister.


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Money Bill vs Financial Bill


Feature| Money Bill| Financial Bill

Constitutional Article| Article 110| Article 117

Introduction| Only Lok Sabha| Depends on the category

President's recommendation| Required| Required in specified cases

Rajya Sabha's role| Limited| Greater role

14-day limit| Yes| No such special 14-day rule

Speaker's certification| Required| Not required as a Money Bill

Joint Sitting| Not possible| Possible in applicable cases

Scope| Strictly limited to Article 110 matters| Wider than Money Bill


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Quick Revision Table


Type of Bill| Can originate in| Special Feature

Ordinary Bill| Either House| Normal legislative procedure

Money Bill| Lok Sabha only| Article 110; Rajya Sabha has limited powers

Financial Bill| Depends on type| Article 117; financial provisions with wider scope

Constitution Amendment Bill| Either House| Article 368; special majority


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Most Important Exam Facts


- Article 107 – Introduction and passing of Bills.

- Article 108 – Joint sitting of Parliament.

- Article 109 – Special procedure for Money Bills.

- Article 110 – Definition of Money Bill.

- Article 111 – Assent to Bills.

- Article 117 – Special provisions relating to Financial Bills.

- Article 368 – Amendment of the Constitution.

- A Money Bill can be introduced only in Lok Sabha.

- A Money Bill requires the President's prior recommendation.

- The Speaker of Lok Sabha certifies a Money Bill.

- Rajya Sabha has 14 days to return a Money Bill.

- There is no joint sitting for a Money Bill.

- There is no joint sitting for a Constitution Amendment Bill.

- A Constitution Amendment Bill can originate in either House.

- A Constitution Amendment Bill does not require the President's recommendation for introduction.

- A Bill passed by Parliament becomes an Act after Presidential assent, except that the constitutional amendment procedure has its own specific framework.


Sources


1. Constitution of India – Legislative Department, Ministry of Law and Justice, Government of India.

2. IGNOU Study Material – Indian Parliament, Parliamentary Procedure and Legislative Process.

3. M. Laxmikanth, Indian Polity – Chapters relating to Parliament and Parliamentary Procedures.

4. Parliament of India / Lok Sabha – Parliamentary procedure and legislative information.

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