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Article 116 of Indian Constitution - Detailed Analysis

Last Updated on Apr 03, 2025
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Overview

Name of the Article

Article 116 - Votes on account, votes of credit and exceptional grants

Part of the Constitutional Article

Part V

The Constitution of India is a comprehensive document that lays down the structure and functioning of the governmental bodies. Article 116 aims on financial matters within Parliament and encompasses important provisions such as votes on account, votes of credit and exceptional grants. The provision plays an important role in maintaining the smooth operation of the government and ensuring the financial stability of the country.

Interpretation of Article 116 of Indian Constitution

Article 116 of the Constitution states - “1) Notwithstanding anything in the foregoing provisions of this Chapter, the House of the People shall have power- (a) to make any grant in advance in respect of the estimated expenditure for a part of any financial year pending the completion of the procedure prescribed in article 113 for the voting of such grant and the passing of the law in accordance with the provisions of article 114 in relation to that expenditure (b) to make a grant for meeting an unexpected demand upon the resources of India when on account of the magnitude or the indefinite character of the service the demand cannot be stated with the details ordinarily given in an annual financial statement (c) to make an exceptional grant which forms no part of the current service of any financial year; and Parliament shall have power to authorise by law the withdrawal of moneys from the Consolidated Fund of India for the purposes for which the said grants are made. 2) The provisions of articles 113 and 114 shall have effect in relation to the making of any grant under clause (1) and to any law to be made under that clause as they have effect in relation to the making of a grant with regard to any expenditure mentioned in the annual financial statement and the law to be made for the authorisation of appropriation of moneys out of the Consolidated Fund of India to meet such expenditure.”

According to Article 116 of Indian Constitution a vote on account allows the Parliament to approve a provisional allocation of funds for part of the financial year to meet expenditure needs before the full budget is passed. The provision ensures the smooth continuation of government operations. On the other hand, Votes of credit authorize Parliament to allocate funds for urgent and large-scale expenses that are not mentioned in the annual financial statement. Exceptional grants allow Parliament to approve funds for expenditures that were not initially included in the budget. It provides the flexibility to address unforeseen circumstances. The process for such grants follows the procedures outlined in Article 113 and Article 114 of the Constitution.

Conclusion

Article 116 of Indian Constitution specifies provisions for managing financial matters in Parliament. It includes votes on account, votes of credit and exceptional grants. They are considered as essential mechanisms for maintaining the smooth operation of the finances of the government. The provisions aids the government to cover essential expenses, deal with unexpected costs and provide immediate financial assistance when required.

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FAQs about Article 116 of Indian Constitution

Article 116 deals with the provision of votes on account, votes of credit and exceptional grants

A vote on account allows Parliament to approve provisional funding for part of the financial year.

Votes of credit authorize Parliament to allocate funds for unexpected, large-scale expenditures that cannot be detailed in the annual financial statement due to their urgency.

Exceptional grants allow Parliament to approve funds for expenditures not included in the current year’s budget.

The process for grants follows the procedures outlined in Article 113 and Article 114 of the Indian Constitution.

Article 116 is mentioned under Part V of the Constitution of India.
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