Do you know the difference between interim and union budgets? Good if you do, however, if you don’t through this article you will know about the difference and some more facts related to interim budgets of India. Therefore, make sure that you read the article thoroughly to not miss out on any fact. Now without any further ado let’s get the reading started.

Understanding The Interim Budget Of India

From the points learn what is an interim budget, who presents it, where it is presented, and when it is presented.

• An Interim budget is offered by a government that is going through a period of change or is in the final year of office before the general elections. Leaving the task of framing the full budget with the ruling government.
• The Finance Minister of such a government presents the Interim Budget during a joint sitting of Rajya Sabha and Lok Sabha in the Parliament of India.
• Though the finance minister is assigned the task of preparing and presenting the budget, the budget is constructed through talks involving the ministry of finance along with different ministries and the NITI Aayog. 
• In the budget, the government tables its expense, earnings, fiscal deficit,  economic execution, and forecasts for the upcoming financial year. 
• The government which is at the end of its tenure presents puts the budget for three to four months in order to keep the country running unhampered. However, there is no Constitutional Provision to present the Interim Budget.
• Presenting the interim budget is not essential, and just get the needed funds using the vote on account way. However, usually, the incumbent government chooses to present the interim budget. 
• The reason behind presenting the incumbent government is to summarize its monetary vision for the following five years if it returns to authority.
• In recent terms, Interim Budgets have become a way in which governments present their accomplishments to attract the voters’ support.

Take a moment and read the purpose of fiscal responsibility budget management and more. 

Difference Between The Interim Budget & Union Budget Of India 

Now, that you have understood the meaning of the interim budget let’s understand how it differs from the union budget.

• The union budget of India is the yearly financial statement for the financial year that begins from 1st April to 31st March. 
• Under Article 112 of the Constitution of India, the ruling government has to table the union budget and project the income and expenditure before both houses of the parliament. 
• A government that is going through a period of change or is in the final year of office before the general elections cannot present a union budget.
• When it comes to the interim budget it is passed without discussion in Lok Sabha and the Union Budget is passed only after complete discussions in Lok Sabha.
• In the Interim Budget, the income and expenses of the previous year and expenses for a few months are mentioned. however, most of the sources of income will not be detailed in the Interim Budget. Whereas the Union Budget is very comprehensive and has 2 different parts. The first part is related to the expenses and income of the previous year and the other part is the government’s plan to raise funds by taking various actions and how it would be used for the growth of the nation.

We hope the article helped you understand what is interim budget and how it differs from the union budget. To keep yourself up to date with such information we suggest you keep reading articles by us.