History of Budget

A temporary authorization by Parliament to withdraw funds from the Consolidated Fund of India to meet urgent expenditure in advance of the completion of the budget process. This is typically used when the general elections are due.

The Finance Bill is introduced in Parliament immediately after the Budget speech. It contains proposals for new taxes, changes to existing taxes, or the continuation of existing tax laws. It becomes law after it is passed by both Houses of Parliament and receives Presidential assent.

The spending by the government, which can be categorized into revenue expenditure (for day-to-day operations) and capital expenditure (for creating assets).