Scroll Top

search-icon
    drop-arrow

    consolidated fund of india

    Introduction for consolidated fund of india

    Constituted under Article 267 of the Constitution, the Consolidated Fund of India is one of the most important government accounts. All the income generated through direct taxes, indirect taxes, and other sources of revenue (excluding exceptional items) are part of the Consolidated Fund of India.

    Understanding Consolidated Fund of India

    This fund is used for all the expenditures carried out by the government, barring a few transactions which are funded by the Contingency Fund or the Public Account. It represents one of the three parts of the Annual Financial Statement, along with the Public Account and the Contingency. As it is considered an important part of the financial statement, all State governments have maintained like the Central government for all major expenses.

    How Does The Fund Get The Money?

    The fund gets the money from all the government revenue generated via a number of sources such as:

    ● Revenue earned from direct taxes such as income tax, corporate tax, capital gains tax, estate tax, etc. ● Revenue earned from indirect tax such as Goods and Service Tax (GST) ● Dividends and profits earned from PSU’s like NTPC, ONGC, SAIL, etc. ● Profits earned from various government’s general services. ● Disinvestment receipts ● Debt repayments ● Loan recoveries

    The money from the Consolidated Fund of India can only be withdrawn after the government gets approval from the Parliament.

    Components of the Consolidated Fund of India

    It is mainly divided into 5 parts, namely:

    ● Revenue account (receipts) ● Revenue account (disbursements) ● Capital account (receipts) ● Capital account (disbursements) ● Disbursements charged on consolidated funds

    Expenditures Charged on Consolidated Funds

    The charged expenditures on the Consolidated Funds of India are non-votable, meaning no voting takes place for a withdrawal of these expenditures. It doesn’t matter if the budget is passed or not, these charges must be paid in the form of salaries and allowances of:

    ● The President ● The Speaker ● The Deputy Speaker of the Lok Sabha ● The Chairman and Deputy Chairman of Rajya Sabha ● Salaries and allowances of Supreme Court judges ● Pensions of Supreme Court and High Court judges

    Index

    Clear offers taxation & financial solutions to individuals, businesses, organizations & chartered accountants in India. Clear serves 1.5+ Million happy customers, 20000+ CAs & tax experts & 10000+ businesses across India.

    Efiling Income Tax Returns(ITR) is made easy with Clear platform. Just upload your form 16, claim your deductions and get your acknowledgment number online. You can efile income tax return on your income from salary, house property, capital gains, business & profession and income from other sources. Further you can also file TDS returns, generate Form-16, use our Tax Calculator software, claim HRA, check refund status and generate rent receipts for Income Tax Filing.

    CAs, experts and businesses can get GST ready with Clear GST software & certification course. Our GST Software helps CAs, tax experts & business to manage returns & invoices in an easy manner. Our Goods & Services Tax course includes tutorial videos, guides and expert assistance to help you in mastering Goods and Services Tax. Clear can also help you in getting your business registered for Goods & Services Tax Law.

    Save taxes with Clear by investing in tax saving mutual funds (ELSS) online. Our experts suggest the best funds and you can get high returns by investing directly or through SIP. Download Black by ClearTax App to file returns from your mobile phone.

    Cleartax is a product by Defmacro Software Pvt. Ltd.

    Company PolicyTerms of use

    ISO

    ISO 27001

    Data Center

    SSL

    SSL Certified Site

    128-bit encryption