What is Consolidated Fund of India?

 

Among the several government accounts, the Consolidated Fund of India is the most crucial. Constituted under Article 266(1) of the Indian Constitution, the Consolidated Fund of India is the account of the revenue the Government of India receives — via income tax, Customs, central excise and the non-tax revenue — and the expenses it makes, excluding exceptional items.

 

Any money raised by the government, including loans through public notifications, treasury bills, and borrowings from foreign governments or international institutions, is always credited to this fund. Likewise, whatever money the Indian government spends — government expenditure — is incurred from this account.