What is the difference between “vote-on-account” and “interim budget”? 1. The provision of a “vote-on-account” is used by a regular Government, while an “interim budget” is a provision used by a caretaker Government. 2. A “vote-on-account” only deals with the expenditure in Government’s budget, while an “interim budget” includes both expenditure and receipts. Which of the statements; given above is/are correct?

QUESTION

Medium

Indian Polity

Prelims 2011

What is the difference between “vote-on-account” and “interim budget”?

The provision of a “vote-on-account” is used by a regular Government, while an “interim budget” is a provision used by a caretaker Government.
A “vote-on-account” only deals with the expenditure in Government’s budget, while an “interim budget” includes both expenditure and receipts.

Which of the statements; given above is/are correct?

Select an option to attempt

Explanation

A vote-on-account contains only the expenditure of the government's budget while an Interim Budget is a complete set of accounts i.e. it includes both expenditure and receipts. Hence, statement 2 is correct.

Vote-on-account is passed every year and is used by both the regular and caretaker government. An interim budget essentially means the government seeks the approval of Parliament for meeting expenditure until a new government takes over and presents a full Budget. An Interim Budget gives a complete financial statement that is very similar to a full Budget. Interim Budgets also can be presented by all governments whether incumbent or regular or caretaker. Hence, statement 1 is incorrect.

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