economics medium Fill in the Blank

When the Parliament is unable to pass the full Union Budget before the start of the new financial year due to elections or time constraints, it grants the executive a temporary authorization to incur expenditure, commonly known as a ___.

  1. Washington
  2. indirect
  3. Vote on Account
  4. first

Answer: Vote on Account

A Vote on Account is a constitutional provision (Article 116) that allows the government to withdraw funds from the Consolidated Fund of India for a limited period (usually two months) to keep essential administrative and developmental machinery running. It only covers the estimated expenditure side, not the new taxation proposals, which are debated in the full budget later.

Topic Indian Economy - Budgeting
Exam Relevance UPSC Prelims, SSC CGL, Railway
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