What is Union Budget?

According to Article 112 of the Indian Constitution, the Union Budget of a year, also referred to as the annual financial statement (AFS), is a statement of the estimated receipts and expenditure of the government for that particular year.

The Union Budget keeps the account of the government's finances for the financial year that runs from April 1 to March 31. The Union Budget is classified into Revenue Budget and Capital Budget.

In the Budget, the receipts and disbursements are shown in three parts in which Government Accounts comprise (i) the Consolidated Fund, (ii) the Contingency Fund and (iii) the Public Account.

The Annual Financial Statement distinguishes the expenditure on revenue account from the expenditure on other accounts, as mandated by the Constitution of India.