Regarding Money Bill, which of the following statements is not correct?

a) A bill shall be deemed to be a Money Bill if it contains only provisions relating to imposition, abolition, remission, alteration or regulation of any tax. 

b) A Money Bill has provisions for the custody of the Consolidated Fund of India or the Contingency Fund of India. 

c) A Money Bill is concerned with the appropriation of moneys out of the Contingency Fund of India. 

d) A Money Bill deals with the regulation of borrowing of money or giving of any guarantee by the Government of India.

Solution: 

• A Money Bill is concerned with the appropriation of moneys out of the Consolidated Fund of India. 
• Article 110 of the Constitution deals with the definition of money bills. 
• It states that a bill is deemed to be a money bill if it contains ‘only’ provisions dealing with all or any of the following matters: 
• 1. The imposition, abolition, remission, alteration or regulation of any tax; 
• 2. The regulation of the borrowing of money by the Union government;
• 3. The custody of the Consolidated Fund of India or the contingency fund of India, the payment of moneys into or the withdrawal of money from any such fund;
• 4. The appropriation of money out of the Consolidated Fund of India; 
• 5. Declaration of any expenditure charged on the Consolidated Fund of India or increasing the amount of any such expenditure; 
• 6. The receipt of money on account of the Consolidated Fund of India or the public account of India or the custody or issue of such money, or the audit of the accounts of the Union or of a state; or 
• 7. Any matter incidental to any of the matters specified above. 
• However, a bill is not to be deemed to be a money bill by reason only that it provides for: 
• 1. the imposition of fines or other pecuniary penalties, or 
• 2. the demand or payment of fees for licenses or fees for services rendered; or 
• 3. the imposition, abolition, remission, alteration or regulation of any tax by any local authority or body for local purposes.
• A Money Bill does not contain the provisions related with the appropriation of moneys out of the Contingency Fund of India.

Ans: (c)