Polity question from Naib Tehsildar exam, 2018 by JKSSB
Which of the following is a CORRECT statement in respect of Money Bills?
Last updated May 15, 2026
Correct Answer:
Option D —
If a Money Bill passed by the Legislative Assembly and transmitted to the Legislative Council for its recommendations is not returned to the Legislative Assembly within the said period of fourteen days, it shall be deemed to have been passed by both Houses
In the Indian parliamentary system (both at the Union and State levels), the Lower House holds supreme authority over financial matters. The Upper House (Legislative Council) has a very limited, advisory role regarding Money Bills.
Why Option D is Correct
According to the Constitution, once the Legislative Assembly passes a Money Bill, it is sent to the Legislative Council. The Council has exactly 14 days to act. If they do nothing and the clock runs out, the bill is automatically considered passed by both Houses in the original form passed by the Assembly.
Analysis of the Incorrect Statements
Statement A is incorrect because the time limit is 14 days, not "a month."
Statement B is incorrect because a Money Bill cannot be introduced in the Legislative Council. It must originate in the Legislative Assembly.
Statement C is incorrect because the Legislative Assembly has the power to reject all recommendations made by the Council. If it does so, the bill is still considered passed by both Houses in the form the Assembly originally chose.
The Money Bill Lifecycle (State Level)
The procedure for a Money Bill at the state level (Article 198) mirrors the procedure at the Union level (Article 109):
Introduction: Only in the Legislative Assembly (Lower House).
Recommendation: Requires the prior recommendation of the Governor.
Transmission: Sent to the Legislative Council after being passed by the Assembly.
Council's Powers: * Cannot reject the bill.
Cannot amend the bill (can only suggest recommendations).
Must return it within 14 days.
The Speaker's Role
One crucial detail often tested is that the Speaker of the Legislative Assembly has the final authority to decide whether a bill is a "Money Bill" or not. Their decision cannot be questioned in a court of law or by either House.
Answer verified by Quintessence Classes faculty — Karan Nagar, Srinagar.