Budget 2022 Live: Digital Rupee To Be Launched By RBI In FY23

Nirmala Sitharaman Begins Her Budget Speech

Lok Sabha Convenes: Budget Presentation To Begin Shortly

The Union Cabinet Approves The Budget For FY23

What is the revenue deficit?

The revenue deficit is a key deficit statistic that is measured by the central government while releasing the Union Budget. It measures a shortfall on the revenue side of budget, namely representing the excess of the government's revenue expenditure over the revenue income.

What Is The Appropriation Bill?

The Appropriation Bill is one of the two legislation, along with the Finance Bill, that the Government of India needs approved through Parliament as a part of the budgetary process.

While the Finance Bill is the legislative framework outlining the government's earning estimates that enables the government to raise funds through taxes, the Appropriation Bill consists of the government's expenditure outline. It's passage in Parliament gives permission to the government to withdraw funds from the Consolidated Fund of India and spend,

Also Read: Budget Glossary #4: What Is The Appropriation Bill?

Finance Minister Nirmala Sitharaman Reaches Parliament

She will present the Union Budget before Lok Sabha

FM @nsitharaman arrives at the Parliament@FinMinIndia#Budget2022 pic.twitter.com/1LnO5PsxdC

— DD News (@DDNewslive) February 1, 2022

Pre-Budget Cabinet Meeting To Begin Shortly

PM Modi has reached Parliament to chair a meeting of the Union Cabinet before the presentation of the Budget

What Is The Finance Bill?

The Finance Bill is a legal document presented by the Finance Minister before Parliament at the time of presenting the Union Budget.

It encapsulates any changes to the taxation policy of the government - and its passage means parliamentary authority to the government to raise funds by taxing Indian entities for the forthcoming financial year, i.e the Bill gives the permission to the government earn through taxes. The government is legally required to present the Finance Bill before Parliament under Article 110 (1) (A) of the Constitution.

This Bill is a Money Bill, and therefore is only introduced in and needs to be approved by the the Lok Sabha, as is constitutionally allowed. After approval of Parliament, the Bill is know as the Finance Act for that year.

Also Read: Budget Glossary #3: What Is The Finance Bill?

What is the Capital Budget?

The Capital Budget deals with the governmental creation of assets, or the proceeds it receives from the sale of assets. The capital receipts includes loans it has raised from the public, or from foreign governments or institutions.

It also includes loan recoveries from states, and the disinvestment proceeding the government has obtained from public sector undertakings. All capital expenditure by the government leads to the creation or of assets - all payments towards land, buildings, machinery and equipment acquisition falls under this category. This heading also includes when the government invests in shares, and loans granted to states or union territories or to corporations or government companies. Generally, expenditure which does not create assets for the Government of India is treated as revenue expenditure.

All grants (not loans) to states and union territories are also counted as revenue expenditure, even if it does lead towards creation of an asset.

What Is The Revenue Budget?

he Revenue Budget consists of all revenue receipts of the government, which can be from tax and non-tax sources, and the expenditure incurred from these sources. The tax income consists of all receipts from all duties, direct and indirect taxes and levies imposed by the Union. Sources of non-tax revenue are dividends earned from public-sector undertakings, interest earned on investments made by the Centre, and fees earned by the government on services that it provides, and any other receipts. Revenue expenditure is what the government spends on its functioning, for the granting of its social programs, for the funding of subsidies, what the government grants in aid, and the interest the government pays on debt. T

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