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Recently money bill came in for a debate. The background of the debate should be briefly understood. Supreme Court in the Adhar case had extensively examined arid discussed Article 110 that deals with the money bill. For an authoritative ruling, the Supreme Court had referred the issue to a seven bench judge.

The case was referred because there was a need for absolute clarity with regard to provisions of the money bill, according to a five -judge constitution bench of CJI Ranjan Gogoi and Justices N V Ramana, D Y Chandrachud, Deepak Gupta and Sanjiv Khanna. There was a need to iron out ambiguities and debates.

So far, it was the Lok Sabha speaker who decided whether a legislation is a money bill or not. The court’s view will be important but the majority judgment in the Aadhaar case, which upheld the Centre'’s decision to introduce the Aadhaar Act as a money bill. However, it did not elucidate and explain the scope and ambit of sub-clauses (a) to (f) to clause (1) of Article 110 and this needed a comprehensive examination. Therefore, according to the court, "“The issue and question of money bill, as defined under Article 110(1) of the Constitution, and certification accorded by the speaker of Lok Sabha in respect of Part-XIV of the Finance Act, 2017 (under which rules were framed for regulation of tribunals) is referred to a larger bench,”"

The majority judgment in K S Puttaswamy (Aadhaar case) did not examine and answer use of the word ‘'only'’ in relation to sub-clauses (a) to (f) in the context of Article 110(1) of the Constitution. The use of the word ‘only’ can be easily applied in a bill relating to imposition, abolition, remission, alteration or regulation of any tax, the problem might likely arise in context of a bill “"relating to borrowing of money or giving of any guarantee by the government of India, or an amendment of law concerning financial obligation,”" according to the bench.

For a Bill to be considered as a Money Bill, it must only contain provisions related to

· Taxation,

· Borrowing of money by the government,

· Expenditure from or receipt to the Consolidated Fund of India, and matters that are incidental to such taxation,

· Expenditure and related subjects.

· For example, the Finance Bill, which only contains provisions related to tax proposals, would be a Money Bill.

What is article 110 of the constitution about?

A) Money bill and Finance Bill

B) Finance bill only

C) When a finance bill is to be considered as money bill

D) Provisions when a bill can be considered a money bill