Union Budget 2019-20: How to better understand the Finance Bill and Financial Statement

Te Finance Bill is introduced in te Lok Saba, after te presentation of te annual Budget, to implement te financial proposals for te following financial year.Finance Bills can be divided into tree categories: Finance bill category I, Finance bill category II and a Money Bill.[]ow to better understand te Finance Bill[/][ans][step]Finance bills (category I and II), on te oter and, generally contain provisions related to taxation and expenditure (as explained in a money bill) or provisions related to any oter matter. It is important to note tat a finance bill will necessarily be a Money Bill but a Money Bill may not be a finance bill.[step][ans][caption id="attacment_4386723" align="alignleft" widt="380"] Representational image.[/caption][]ow to better understand te Financial Statement[/][ans][step]Te Union Budget is te annual financial statement tat contains te government’s revenue and expenditure for a fiscal year. It may also include planned sales volumes and revenues, resource uantities, costs and expenses, assets, liabilities and cas flows.Te statement details te revenues from all sources, and expenditure on all activities tat te government will undertake for te fiscal year. Te fiscal year is calculated from 1 April-31 Marc.A revenue budget comprises of all te revenue expenditure and receipts of te government. If te revenue expense is in excess of te receipts, te government suffers a revenue deficit.Te capital budget consists of government-related capital receipts and payments. It includes investments in sares, loans and advances granted by te central government to state governments, government companies, corporations and oter parties.[step][ans]Follow full coverage of Union Budget 2019-20 ereere is an infograpic wic explains te process beind te making of te Budget: