Why in News?
The Lok Sabha has recently passed the supplementary demand for grants.
About Supplementary Demand for Grant:
- It is required when the amount authorised by the Parliament through the concerned Appropriation act for a particular service for the current financial year is found to be insufficient for that particular year.
- This grant is presented and passed by the Parliament before the end of that financial year.
- Article 115 pertains to supplementary, additional, or excess grants.
Additional Grant: It is granted when a need has arisen during the present financial year for some additional expenditure upon some new service not contemplated in the budget for that year.
Excess Grant: It is granted when money has been spent on any service in excess of the amount granted for that service in the budget for that financial year.
- It is voted by the Lok Sabha after that financial year.
- Before the demands for excess grants are submitted to the Lok Sabha for voting, they must be approved by the Public Accounts Committee of Parliament.
Vote of Credit:
It is granted for meeting an unexpected demand upon the resources of India, when there is indefinite character of the service and the demand cannot be stated with the details as ordinarily given in the budget.
- Thus, it is similar to a blank cheque given to the Executive by the Lok Sabha.
Exceptional Grant: It is granted for any special purpose and it doesn’t form part of the current service of any financial year.