📍 The Question

With reference to the Union Budget, consider the following statements:

1. The Union Finance Minister on behalf of the Prime Minister lays the Annual Financial Statement before both the Houses of Parliament.
2. At the Union level, no demand for a grant can be made except on the recommendation of the President of India.

Which of the statements given above is/are correct?

(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2

✅ Correct Answer: (b) 2 only

🧠 Indexive Theme of the Question

Union Budget | Articles 112 & 113 | Role of President | Financial Procedure of Parliament

🧑‍🏫 Classroom Explanation

🔹 Statement 1: Not Correct

• Article 112 of the Constitution provides that: “The President shall cause to be laid before both Houses of Parliament an Annual Financial Statement.”
• In practice:
  • The Union Finance Minister presents the Budget on behalf of the President,
  • Not on behalf of the Prime Minister.

👉 Therefore, Statement 1 is incorrect.

🔹 Statement 2: Correct

• Article 113(3) clearly states that: No demand for a grant shall be made except on the recommendation of the President.
• This applies only at the Union level and acts as a constitutional check on parliamentary financial proposals.

👉 Hence, Statement 2 is correct.

📜 Relevant Constitutional Provisions

• Article 112 — Annual Financial Statement (Union Budget)
• Article 113(3) — President’s recommendation mandatory for demands for grants

🧠 Prelims Memory Hook

Budget is presented by FM, but constitutionally “caused” by the President.

🧘 IAS Monk Whisper

In finance, power flows not from who speaks in Parliament, but from who authorizes the purse.