Question

Assertion (A): No expenditure can be incurred without the approval of the Parliament.

Reason (R): Our democratic government, like that of Britain, is based on the concept of Sovereignty of the Parliament.

1. Both (A) and (R) are true and (R) is the correct explanation of (A).
2. Both (A) and (R) are true and (R) is not the correct explanation of (A).
3. (A) is true but (R) is false.
4. (A) is false but (R) is true.

Answer 1

Correct Answer - Option 3 : (A) is true but (R) is false.

The correct answer is (A) is true but (R) is false.

• Consolidated Fund of India (Article 266):
  • Consolidated Fund of India is a fund to which all receipts are credited and all payments are debited.
• In other words:
  • All revenues received by the Government of India;
  • All loans raised by the Government by the issue of treasury bills, loans or ways and means of advances; and
  • All money received by the government in repayment of loans forms the Consolidated Fund of India.
• All the legally authorized payments on behalf of the Government of India are made out of this fund.
• No money out of this fund can be appropriated (issued or drawn) except in accordance with parliamentary law. 

• UK parliament:-
  • Parliamentary sovereignty is a principle of the UK constitution.
  • It makes Parliament the supreme legal authority in the UK, which can create or end any law. Generally, the courts cannot overrule its legislation and no Parliament can pass laws that future Parliaments cannot change.
• Indian Parliament:-
  • In India, parliamentary sovereignty is subject to the Constitution of India, which includes judicial review.
  • Further, all amendments to the constitution are also open to Judicial Review.
  • Thus, in spite of parliamentary privilege to amend the constitution, the constitution itself remains supreme.