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Demand for Grants

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According to Article 113 of the Indian Constitution, estimates of expenditure from the Consolidated Fund of India in the Annual financial Statement are to be voted in the Lok Sabha. These expenditures are submitted in the lower house of Parliament in the form of Demand for Grants. Conventionally, one Demand for Grant is presented in respect of one Ministry or Department, though more than one Demand may also be presented according to the nature of expenditure.

For Union Territories without Legislature a separate Demand is presented for each Union territory.

Each Demand gives the totals of “voted” and “charged” expenditure and also the grand total of the amount of expenditure for which the demand is presented. This expenditure is then given under different Major and Minor heads of account. The break-up of expenditure is also provided in Plan and Non-Plan basis.

The demands include the total provisions required for a service, i.e. Provisions on account of revenue expenditure capital expenditure, grants to States and UTs and also loans and advances related to that service.

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