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Article 199

Definition of "Money Bills" in State Legislature

Official heading: “Definition of “Money Bills”.”

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Source edition
The Constitution of India (as on 1 May 2026)
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Part VI, Article 199, printed pages 90–91
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1. In One Sentence

Article 199 defines a Money Bill as one dealing exclusively with State taxation, borrowing, custody of the Consolidated or Contingency Fund, or appropriation, making the Speaker's certificate final.

2. What It Means in Everyday Language

Article 199 provides the strict constitutional definition of a Money Bill in the State Legislature, mirroring Article 110 at the Union level.

Exclusive Subject Matter (Clause 1): A bill is deemed to be a Money Bill if it contains only provisions dealing with: (a) the imposition, abolition, remission, alteration or regulation of any tax; (b) the regulation of the borrowing of money or the giving of any guarantee by the State; (c) the custody of the Consolidated Fund or the Contingency Fund of the State, and payment into or withdrawal from such funds; (d) the appropriation of moneys out of the Consolidated Fund; (e) the declaring of any expenditure to be expenditure charged on the Consolidated Fund; and (f) any matter incidental to the foregoing.

Negative Test: Clause (2) clarifies that a bill is NOT a Money Bill merely because it provides for fines, license fees, or local taxation for municipal purposes.

Finality of Speaker's Certificate: Under Clause (3), if any question arises whether a bill is a Money Bill or not, the decision of the Speaker of the Legislative Assembly thereon is final, and must be endorsed on the bill when transmitted to the Council and Governor.

3. Practical Illustrative Example

Everyday Scenario:

The State government introduces a comprehensive bill imposing a new road cess and establishing a highway regulatory body.

Core takeaway: Under Article 199, if the bill contains broad regulatory provisions beyond pure fiscal matters, it is a Financial Bill, not a pure Money Bill.
Illustrative Notice: The Speaker's certificate on a Money Bill is subject to judicial review if it represents a colorable exercise of power violating constitutional mandates.

4. Important Limits, Qualifications & Exceptions

Article 199 sets the exhaustive constitutional boundaries of Money Bills.

  • Exhaustive list of fiscal subjects in Clause (1).
  • Excludes ordinary fees and local municipal taxation.
  • Speaker of Legislative Assembly issues conclusive certificate.
  • Speaker certificate must accompany transmission to the Council and Governor.

5. Operative Constitutional Text

(1) For the purposes of this Chapter, a Bill shall be deemed to be a Money Bill if it contains only provisions dealing with all or any of the following matters, namely:— (a) the imposition, abolition, remission, alteration or regulation of any tax; (b) the regulation of the borrowing of money or the giving of any guarantee by the State, or the amen dment of the law with respect to any financial obligations undertaken or to be undertaken by the State; (c) the custody of the Consolidated Fund or the Contingency Fund of the State, the payment of moneys into or the withdrawal of moneys from any such Fund; (d) the appropriation of moneys out of the Consolidated Fund of the State; (e) the declaring of any expenditure to be expenditure charged on the Consolidated Fund of the State, or the increasing of the amount of any such expenditure; (f) the receipt of money on account of the Consolidated Fund of the State or the public account of the State or the custody or issue of such money; or (g) any matter incidental to any of the matters specified in sub-clauses (a) to (f). (2) A Bill shall not be deemed to be a Money Bill by reason only that it provides for the imposition of fines or other pecuniary penalties, or for the demand or payment of fees for licences or fees for services rendered, or by reason that it provides for the imposition, abolition, remission, alteration or re gulation of any tax by any local authority or body for local purposes. (3) If any question arises whether a Bill introduced in the Legislature of a State which has a Legislative Council is a Money Bill or not, the decision of the Speaker of the Legislative Assembly of such State thereon shall be final. (4) There shall be endorsed on every Money Bill when it is transmitted to the Legislative Council under article 198, and when it is presented to the Governor for assent under article 200 , the certificate of the Speaker of the Legislative Assembly signed by him that it is a Money Bill.
Transcription for reference; compare with the linked official editionNot yet verified by a human legal reviewer

6. Sources & Historical Assembly Deliberations

Assembly quotations are withheld until wording, dates, and attribution have been checked against the primary record.

Sources & Citation Metadata
  • •
    Constitutional TextThe Constitution of India (as on 1 May 2026)Cited PDF page
    Government of India (Legislative Department, Ministry of Law and Justice) • Part VI, Article 199, printed pages 90–91 • Human source-link check pending

    Primary PDF accessed and transcribed with AI assistance on 14 October 2026. Formatting and amendment annotation markers are omitted; operative wording is retained. This is not human legal review. Later amendments and commencement notifications have not been comprehensively checked.

Human legal review is pending; compare the text with the cited editionNon-partisan educational resource

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