A Bill is a proposal for a new law or for changing an existing law.

It becomes an Act or Law only after it is properly passed by the legislature and receives the required assent.

In Parliament, Bills are discussed, debated, amended and voted upon before they become law.

Types Of Bills

Bills introduced in Parliament are broadly of two kinds:

• Public Bills or Government Bills
• Private Bills or Private Member Bills

Public Bills Or Government Bills

A Public Bill is introduced by a Minister.

These Bills usually reflect the policy of the government.

Features Of Public Bills

• Introduced by a Minister.
• Rejection may lead to resignation of the government.
• Requires 7 days’ notice for introduction.
• Drafted by the concerned department in consultation with the Law Department.

Private Bills Or Private Member Bills

A Private Bill is introduced by a member who is not a Minister.

Such members are called Private Members of Parliament.

Features Of Private Bills

• Introduced by a member other than a Minister.
• Rejection does not lead to resignation of the government.
• Requires 1 month’s notice for introduction.
• Drafting is the responsibility of the concerned member.

Four Categories Of Bills

Bills introduced in Parliament are classified into four categories:

• Ordinary Bills
• Money Bills
• Financial Bills
• Constitutional Amendment Bills

Ordinary Bills

An Ordinary Bill deals with matters other than money matters and constitutional amendments.

It may be introduced in either House of Parliament.

It may be introduced by a Minister or by a Private Member.

Stages Of Passing An Ordinary Bill

There are 5 stages in the passing of an Ordinary Bill:

• First Reading
• Second Reading
• Third Reading
• Bill in the Second House
• Assent of the President

First Reading

The First Reading is the introduction stage.

Process

• The member asks for leave to introduce the Bill.
• The mover introduces the Bill by reading its title and objectives.
• The Bill is later published in the Gazette of India.

If the Bill has already been published in the Gazette before introduction, leave of the House is not necessary.

Second Reading

The Second Reading is the most important stage.

At this stage, detailed scrutiny of the Bill takes place and the Bill begins to take its final shape.

The Second Reading has three sub-stages:

• General Discussion Stage
• Committee Stage
• Consideration Stage

General Discussion Stage

At this stage:

• Printed copies of the Bill are distributed to all members.
• The principles and general provisions of the Bill are discussed.
• Details of each clause are not discussed yet.

The House may take one of four actions:

• Take the Bill into consideration immediately or on a fixed date.
• Refer the Bill to a Select Committee of the House.
• Refer the Bill to a Joint Committee of both Houses.
• Circulate the Bill for public opinion.

Committee Stage

At this stage, the Bill is examined in detail.

Important Points

• Detailed clause-by-clause discussion takes place.
• Amendments may be suggested.
• After scrutiny, the Bill is sent back to the House.

Consideration Stage

At this stage:

• Each clause is discussed separately.
• Each clause is voted upon separately.
• Amendments may be moved.
• If accepted, amendments become part of the Bill.

Third Reading

The Third Reading is the final stage in the first House.

At this stage:

• Debate is limited.
• Discussion is generally confined to whether the Bill should be accepted or rejected as a whole.
• No detailed clause-wise discussion takes place.
• If the Bill is passed, it is sent to the second House.

Bill In The Second House

After being passed by one House, the Ordinary Bill goes to the other House.

The second House may:

• Pass the Bill as received.
• Pass the Bill with amendments.
• Reject the Bill.
• Take no action for 6 months.

If there is disagreement between the two Houses, a Joint Sitting may be called.

Joint Sitting

A Joint Sitting is provided under Article 108.

It is summoned by the President and presided over by the Speaker of Lok Sabha.

Joint Sitting May Be Called When

• One House rejects the Bill.
• The Houses disagree on amendments.
• More than 6 months pass without the second House passing the Bill.

Bills Passed At Joint Sittings

The following Bills have been passed at Joint Sittings:

• Dowry Prohibition Bill, 1961
• Banking Service Commission (Repeal) Bill, 1977
• Prevention of Terrorism Bill, 2002

There is no Joint Sitting for:

• Money Bills
• Constitutional Amendment Bills

Assent Of The President

After a Bill is passed by Parliament, it is sent to the President.

The President may:

• Give assent.
• Withhold assent.
• Return the Bill for reconsideration.

In case of Ordinary Bills, the President may use all veto powers.

Money Bill

A Money Bill is defined under Article 110.

A Bill is a Money Bill if it contains only matters mentioned in Article 110.

Matters Covered Under Money Bill

A Money Bill may deal with:

• Imposition, abolition, remission, alteration or regulation of any tax.
• Regulation of borrowing of money by the Union Government.
• Custody of the Consolidated Fund of India or Contingency Fund of India.
• Payment into or withdrawal of money from such funds.
• Appropriation of money out of the Consolidated Fund of India.
• Declaration of expenditure charged on the Consolidated Fund of India.
• Receipt, custody or issue of money from the Consolidated Fund of India or Public Account of India.
• Audit of accounts of the Union or State.

Procedure Of Money Bill

A Money Bill has a special procedure.

• It can be introduced only in Lok Sabha.
• It can be introduced only on the recommendation of the President.
• It can be introduced only by a Minister.
• After being passed by Lok Sabha, it is sent to Rajya Sabha.
• Rajya Sabha cannot reject or amend it.
• Rajya Sabha can only make recommendations.
• Rajya Sabha must return it within 14 days.
• Lok Sabha may accept or reject any recommendation.
• If Rajya Sabha does not return it within 14 days, it is deemed passed by both Houses.

President’s Power In Money Bill

In case of a Money Bill, the President may:

• Give assent.
• Withhold assent.

The President cannot return a Money Bill for reconsideration.

Financial Bills

Financial Bills are dealt with under Article 117.

All Money Bills are Financial Bills, but all Financial Bills are not Money Bills.

Only those Financial Bills that contain exclusively Article 110 matters are Money Bills.

Types Of Financial Bills

There are two types of Financial Bills:

• Financial Bill (1) – Article 117(1)
• Financial Bill (2) – Article 117(3)

Financial Bill (1)

A Financial Bill (1) contains:

• One or more matters mentioned in Article 110.
• Other matters of general legislation.

Features

• It can be introduced only in Lok Sabha.
• It requires the recommendation of the President.
• In all other respects, it is treated like an Ordinary Bill.

Financial Bill (2)

A Financial Bill (2) contains provisions involving expenditure from the Consolidated Fund of India.

But it does not include matters mentioned in Article 110.

Features

• It is treated like an Ordinary Bill.
• It can be introduced in either House.
• It cannot be passed by either House unless the President has recommended consideration of the Bill.
• Joint Sitting is possible if required.
• Joint Sitting is presided over by the Speaker of Lok Sabha.

Constitutional Amendment Bill

A Constitutional Amendment Bill is introduced under Article 368 in Part XX.

It is used to amend the Constitution by addition, variation or repeal of constitutional provisions.

However, Parliament cannot amend the Basic Structure of the Constitution.

Procedure Of Constitutional Amendment Bill

• It can be introduced in either House of Parliament.
• It can be introduced by a Minister or a Private Member.
• It does not require prior permission of the President.
• It must be passed separately in each House by a Special Majority.
• There is no provision for Joint Sitting in case of deadlock.
• If it affects the federal structure, it must be ratified by at least half of the States by Simple Majority.
• After being passed, it is presented to the President for assent.
• The President must give assent to the Bill.

Difference Between Money Bill And Financial Bill

Basis	Money Bill	Financial Bill
Article	Article 110	Article 117
Content	Only Article 110 matters	May include money matters and other matters
Introduction	Only Lok Sabha	Depends on type
President’s recommendation	Required	Required in different ways
Rajya Sabha power	Can only recommend	Has wider role depending on type
Joint Sitting	Not allowed	Possible for Financial Bill (2)

Difference Between Ordinary Bill And Money Bill

Basis	Ordinary Bill	Money Bill
Subject	General law-making	Taxation, funds, borrowing, expenditure
House of introduction	Either House	Lok Sabha only
Introduced by	Minister or Private Member	Minister only
President’s recommendation	Not always required	Required
Rajya Sabha power	Equal power	Limited power
Time limit in Rajya Sabha	No fixed 14-day limit	14 days
Joint Sitting	Possible	Not possible

Important Facts At A Glance

Topic	Fact
Bill	Proposal for legislation
Public Bill	Introduced by Minister
Private Bill	Introduced by non-minister member
Public Bill notice	7 days
Private Bill notice	1 month
Four categories	Ordinary, Money, Financial, Constitutional Amendment
Money Bill Article	Article 110
Financial Bill Article	Article 117
Constitutional Amendment Bill	Article 368
Joint Sitting Article	Article 108
Money Bill introduced in	Lok Sabha only
Money Bill introduced by	Minister only
Rajya Sabha Money Bill limit	14 days
Joint Sitting not allowed for	Money Bill and Constitutional Amendment Bill
President cannot return	Money Bill
President must assent	Constitutional Amendment Bill

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FAQs On Bills In Indian Parliament