From UPSC perspective, the following things are important :
Prelims level : Supplementary grants
Mains level : Various grants in Parliament
Lok Sabha recently held voting on supplementary demands for grants for Jammu and Kashmir and passed the proposals on voice vote.
What are Supplementary Grants?
- The additional grant required to meet the required expenditure of the government is called Supplementary Grants.
- When grants, authorised by the Parliament, fall short of the required expenditure, an estimate is presented before the Parliament for Supplementary or Additional grants.
- These grants are presented and passed by the Parliament before the end of the financial year.
- When actual expenditure incurred exceeds the approved grants of the Parliament, the Ministry of Finance and Ministry of Railways presents a Demand for Excess Grant.
How it works?
- The Comptroller and Auditor General of India bring such excesses to the notice of the Parliament.
- The Public Accounts Committee examines these excesses and gives recommendations to the Parliament.
- The Demand for Excess Grants is made after the actual expenditure is incurred and is presented to the Parliament after the end of the financial year in which the expenses were made.