Types of Bills, Ordinary Bills, Public Bill, Private Bill & More

The types of bills introduced in the Parliament of India serve a distinct purpose of their own and have its own procedure for passage. The parliament acts as the supreme legislative body and has the power to formulate, amend and repeal laws governing the nation. Having the knowledge about different types of bills is important to gain clarity about the Indian legislative process. In this article, we are going to cover the types of bills, their classification, procedure passage and their importance in the Indian parliamentary democracy. 

Types of Bill in Indian Parliament

• A parliamentary bill is a proposal for a new law or for amending/repealing an existing law. 
• Every bill should go through a structured process in its introduction, debate, scrutiny and approval in parliament. 
• Once a bill is passed in both Houses of Parliament that is the Lok Sabha and the Rajya Sabha, the bill is sent to the President for assent and becomes an Act of Parliament and receives the force of law. 

Types of Bills Classifications in Indian Parliament

The Parliament of India classifies bills into the following types: 

• Based on person introducing them- Public Bill vs Private Bill 
• Based on nature of content- Original, Amending, Consolidating, repealing 
• Based on procedure for passage- Ordinary bill, money bill, finance bill, constitutional amendment bill 

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Public Bill vs Private Bill

Public Bill and Private Bill are passed by using the same procedure, however there are a few differences in the bills. These differences are: 

Types of Bills on the basis of Content 

On the basis of content, the following bills are introduced: 

Ordinary Bills

• Ordinary bills are the ones that introduce new proposals, ideas and policies. 
• These bills are introduced in the legislature for the first time as opposed to the bills that are introduced as amendments or modifications to existing laws.  

Amending Bills

• Amending bills are bills that modify, amend or revise the existing acts. 
• The bill aims to improve, clarify, correct or update the legal provisions of existing statutes to reflect current needs, remove any errors and rectify inconsistencies. 

Consolidating Bills 

• Consolidating bills are the ones that bring together the existing laws on specific subjects. 
• These bills combine and streamline existing or overlapping laws into a single, comprehensive unified law. 
• Helps to make legal framework easy and reduces redundancy. 

Expiring Laws (Continuance) Bills

• These bills extend the operation of Acts that are due to expire after a fixed time period.
• Commonly used for laws related to taxation, emergencies, or temporary circumstances.
• Prevents legal gaps by ensuring important laws continue to remain in force.
• Aim: Maintain legal continuity and smooth governance.

Repealing Bills

• These bills annul or abolish laws that are outdated, irrelevant, or redundant.
• Helps remove overlap between old and new legislation.
• Ensures that the legal system stays updated and free from unnecessary clutter.
• Aim: Streamline the legal framework and improve efficiency.

Validating Bills

• These bills provide retrospective legal validity to certain past actions or decisions.
• Used to cure technical or procedural defects in government decisions.
• Prevents such actions from being challenged in courts.
• Aim: Ensure legal certainty, stability, and enforceability.

Bills to Replace Ordinances

• Introduced to replace ordinances issued by the President or Governor during a recess of Parliament/State Assembly.
• Ordinances are temporary and must be converted into permanent laws through such bills.
• Ensures that urgent measures taken through ordinances continue with legislative approval.
• Aim: Uphold parliamentary democracy and continuity of governance.

Constitutional (Amendment) Bills

• These bills amend, modify, or repeal provisions of the Constitution.
• Require a special majority for passage (different from ordinary laws).
• Allow restructuring of institutions, redefining of powers, or addition of new provisions.
• Aim: Adapt the Constitution to evolving political, social, and economic needs.

Money Bills (Article 110)

• Concern only with financial matters specified in Article 110.
• Cover areas like taxation, government borrowing, Consolidated Fund, Contingency Fund, public accounts, and audit of government accounts.
• Excludes provisions like fines, fees for licenses/services, or local body taxes.
• Aim: Regulate core financial functions of the Union Government.

Money Bills and Financial Bills

Money Bills and Financial Bills are differentiated on the basis of following manner: 

Money Bills (Article 110)

• A Money Bill deals exclusively with matters specified under Article 110 of the Constitution.
• Includes taxation, borrowing of money, custody/withdrawal from the Consolidated Fund of India or Contingency Fund, appropriation of money, declaration of expenditure charged on the Consolidated Fund, and audit of government accounts.
• Can only be introduced in the Lok Sabha and only on the recommendation of the President.
• Must be certified by the Speaker of the Lok Sabha before being transmitted to the Rajya Sabha.
• Cannot amend or reject a Money Bill; it can only give recommendations, which the Lok Sabha may accept or reject.
• Ensures control of the elected House (Lok Sabha) over matters of public finance.

(b) Ordinary Bills vs. Money Bills – Key Distinctions

• Introduction:
  • Ordinary Bills: Can be introduced in either Lok Sabha or Rajya Sabha by any MP (Minister or Private Member).
  • Money Bills: Can only be introduced in the Lok Sabha by a Minister with prior Presidential recommendation.
• Deadlock:
  • Ordinary Bills: Deadlock may occur between the two Houses, resolved through a joint sitting.
  • Money Bills: No possibility of a deadlock; Rajya Sabha has limited powers.
• Certification:
  • Ordinary Bills: No certification required.
  • Money Bills: Must be certified by the Speaker of the Lok Sabha.
• Role of Rajya Sabha:
  • Ordinary Bills: Rajya Sabha can amend, reject, or delay up to six months.
  • Money Bills: Rajya Sabha cannot amend/reject; only recommendations (within 14 days).

(c) Financial Bills (Article 117)

• Financial Bills are a broader category that deal with financial matters but are not confined strictly to Article 110.
• Types:
  • Financial Bill (I) [Article 117(1)]:
    • Contains matters mentioned in Article 110 plus other general legislation.
    • Requires President’s recommendation for introduction.
    • Can be introduced only in the Lok Sabha.
  • Financial Bill (II) [Article 117(3)]:
    • Deals with expenditure from the Consolidated Fund of India, but does not include matters of a Money Bill.
    • Can be introduced in either House.
    • Does not require Presidential recommendation.
• Key Note:
  • All Money Bills are Financial Bills.
  • But not all Financial Bills are Money Bills, since Financial Bills (I) and (II) cover a wider scope.

Difference Between Money Bill and Finance Bill

Following are the differences in between Money Bill and Finance Bill: 

Types of Bills Based on Passage Procedure 

Different bills are passed on the basis of different procedure: 

(a) Ordinary Bills: These bills are concerned with any subject other than money matters. Passed by both Houses with a simple majority.

(b) Money Bills: Money Bills are concerned with taxation and public expenditure. Detailed earlier.

(c) Financial Bills: Financial bills are concerned with revenue or expenditure but distinct from Money Bills.

(d) Constitutional Amendment Bills : Constitutional Amendments bills are concerned with changes to the Constitution. Require a special majority and, in some cases, ratification by states.