Under Article 112 of constitution of India, a statistics of estimated receipts & expenditure of government of India has to be laid before Parliament in respect of every financial year.The core of budget, Annual Financial statement has to be passed by both the House before it comes to effect on 1 April, when Financial year begins.
Financial year commence from April 1 to March 31 for any year.
1 st Annual Budget was passed on 1 April 1949.
on the basis of budget figures of 2 previous years are reported.
Every budget gives 3 sets of figures
1.Actual figures for preceding year
2.Budget & revised figures for current years
3.Budget estimates for following year.