Financial Powers of the President

Financial Powers of the President:

All money bills are introduced in the Lok Sabha only with the prior approval of the President.

The President has the control over Contingency Fund of India.

Contingency Fund of India

It is a fund kept by the Union Government to meet any unforeseen expenditure for which money is immediately needed. The President has full control over this Fund. The President permits withdrawals from this Fund.

It enables him/her to advance money for the purpose of meeting unforeseen expenses.

Annual budget and railway budget are introduced in the Lok Sabha on the recommendation of the President.

If the Government in the middle of the financial year feels that more money is required than estimated in the annual budget, it can present supplementary demands.

Money bills are never returned for reconsideration.

The President appoints the Finance Commission after every five years.

It makes recommendations to the President on some specific financial matters, especially the distribution of Central taxes between the Union and the States.

The President also receives the reports of the Comptroller and Auditor-General of India, and has it laid in the Parliament.