Difference Between Interim Budget and Union Budget: Check Here To Know The Difference

Last updated on February 14th, 2023 at 01:29 am

Difference Between Interim Budget and Union Budget is important from the perspective of Indian Polity syllabus. The Union Budget is presented for the entire year and the interim budget is for a couple of months, till a new Central Government takes charge. A petition was filed in 2019 by advocate Manohar Lal Sharma in the Supreme Court, seeking to quash the Interim Budget. There is no constitutional provision to present an Interim Budget before the General elections.The Difference Between Interim and Union Budget will help the candidates appearing for the UPSC Civil Service Exam to understand and know their comparisons thoroughly. Candidates searching for the difference will get the answer when they read this article. Candidates are requested to read this page till the end to know the Difference Between Interim Budget and Union Budget in detail. 

Difference Between Interim Budget and Union Budget

The Union budget differs from the Interim budget in many possible ways. The Difference Between Interim Budget and Union Budget UPSC are considered important as it will help the candidates when needed. The differences are explained in tabular form for better understanding. Scroll down to know the major Difference Between Interim Budget and Union Budget. 

Interim Budget	Union Budget
The Interim Budget provides a summary of the expenses and income of the previous year.	The Union Budget will provide Income and expenses of the previous year in detail.
A vote-on account  is passed via interim budget without discussion in Lok Sabha	The Union budget is passed after complete discussions in Lok Sabha.
Interim Budget is for a duration of approximately 2 to 4 months of the fiscal year	The Union Budget is for the entire fiscal year.
The Interim Budget mentions income and expenses of the previous year till the charge is taken over by the next Government.	The Union Budget has two different parts, one part is the expenses and income of the previous year and the other part is the plan of the Government in raising funds through taking various measures.
The Interim Budget is a temporary full budget presented with special conditions.	The Union Budget is an annual financial statement and is mandatory to be presented.
The Interim Budget is a temporary full budget presented by the Parliament	The Union Budget is an annual budget presented by the Central Government.
The Interim Budget does not have a component.	The Union Budget has a component on spending funds for various social welfare measures.
The Interim Budget is presented before the General Elections.	The Union Budget is passed without election.

Interim Budget

When there is no time to present the full budget as the general election is about to happen, the Central government presents the interim budget. This budget is presented by the Finance Minister in the joint sitting of Rajya Sabha and Lok Sabha. Interim budget contains expenses and income details through taxes for the coming few months. The interim budget will have a progress report card on the expenses and income earned in the previous year. A vote-on-account is passed to manage the expenditure. This account is issued by the Parliament. The interim budget is also called the Temporary full budget.

Union Budget

As mentioned in the Article 112 of the Constitution of India, the Union budget is the statement of the Government’s estimated income and expenditure for that partial year. The union budget should be presented before the beginning of the new fiscal year. Interim budget focuses on cutting plan expenditure to control the fiscal deficit which is not a good sign.The union budget is a financial statement prepared to help improve the country’s economic condition. The union budget is otherwise called an Annual financial statement.

Difference Between Interim Budget and Union Budget: FAQs

Which budget is presented for the entire fiscal year?

The union budget is an annual financial statement which is presented for the entire fiscal year.

Who presented the Interim budget in the joint sitting of the Rajya Sabha and Lok Sabha?

The Finance Minister presented the Interim budget in the joint sitting of the Rajya Sabha and Lok Sabha.

What is the key difference between the interim budget and union budget?

The key difference between the interim budget and union budget is that the interim budget is for a duration of approximately 2 to 4 months of the fiscal year whereas union budget is for the entire fiscal year.

What is the other name of the interim budget?

The interim budget is otherwise called a temporary full budget which is passed as vote-on-account.

Is the interim budget and union budget the same?

No. The interim budget and union budget are not the same. Read this page to know the difference between interim budget and union budget.