Weekly 24 Questions 🌐 English & Tamil

TNPSC Indian Economy Quiz: Union Budget, Fiscal Deficit, GST & FRBM Act

Practice TNPSC Group 1, Group 2, Group 2A, Group 4 and VAO exam-oriented MCQs on the Union Budget, Constitutional Budget Articles, Fiscal/Revenue/Primary Deficit formulas, FRBM Act 2003, GST, and Fiscal vs Monetary Policy. Free MCQ set with detailed explanations for TNPSC aspirants on TNCareerHub.in.

Curated by: Janani — Content Editor, TNCareerHub

Expert-reviewed questions

7 attempts so far

22 Aug 2026

Updated: 22 Aug 2026

English தமிழ்

Showing English questions. Switch to Tamil →

Q1 The Union Budget of India is presented in Parliament under which Article of the Constitution? (TNPSC Group 4 - 2022 pattern)

Easy

A. Article 110 B. Article 112 C. Article 265 D. Article 280

Q2 Since which year has the Union Budget been presented on 1st February, instead of the last working day of February?

Medium

A. 2014 B. 2016 C. 2017 D. 2019

Q3 Which Article of the Indian Constitution establishes the Contingency Fund of India, used by the President for unforeseen expenditure?

Medium

A. Article 266 B. Article 267 C. Article 268 D. Article 275

Q4 If Total Expenditure = ₹40 lakh crore, Total Receipts (excluding borrowings) = ₹28 lakh crore, and Interest Payments = ₹5 lakh crore, what is the Primary Deficit?

Hard

A. ₹12 lakh crore B. ₹7 lakh crore C. ₹17 lakh crore D. ₹40 lakh crore

Q5 The FRBM Act was enacted in which year, and which committee later recommended a fiscal deficit target of 3% of GDP along with a Fiscal Council?

Medium

A. 2003; Kelkar Committee B. 2003; N.K. Singh Committee (2016) C. 2005; Y.V. Reddy Committee D. 2000; C. Rangarajan Committee

Q6 Goods and Services Tax (GST) was implemented in India on 1st July 2017 through which Constitutional Amendment Act?

Easy

A. 100th Amendment Act B. 101st Amendment Act, 2016 C. 102nd Amendment Act D. 103rd Amendment Act

Q7 Which of the following statements about GST is INCORRECT?

Medium

A. GST replaced VAT, Excise Duty, and Service Tax B. GST is governed by the GST Council chaired by the Union Finance Minister C. GST completely replaced Customs Duty on imported goods D. GST follows the slogan 'One Nation, One Tax, One Market'

Q8 Which type of budget requires every expenditure item to be justified afresh each year, rather than being based on the previous year's allocation, and was introduced in India in 1987?

Medium

A. Outcome Budget B. Gender Budget C. Zero-Based Budgeting D. Balanced Budget

Q9 Which of the following correctly distinguishes Fiscal Policy from Monetary Policy?

Easy

A. Fiscal Policy is controlled by RBI; Monetary Policy is controlled by the Ministry of Finance B. Fiscal Policy uses Repo Rate and CRR; Monetary Policy uses taxation and government spending C. Fiscal Policy is controlled by the Government using taxation and spending; Monetary Policy is controlled by RBI using interest rate tools D. Both Fiscal and Monetary Policy are controlled exclusively by the RBI

Q10 Revenue Deficit is calculated using which formula?

Medium

A. Revenue Expenditure − Revenue Receipts B. Total Expenditure − Total Receipts C. Fiscal Deficit − Interest Payments D. Capital Expenditure − Capital Receipts

Q11 Which of the following is classified as a Capital Receipt in the Union Budget?

Hard

A. Income Tax collected from individuals B. GST collected on goods and services C. Loans raised by the government and proceeds from disinvestment D. Dividends received from public sector undertakings

Q12 Which Article of the Constitution deals with the Finance Commission, which recommends the distribution of tax revenue between the Union and the States?

Medium

A. Article 275 B. Article 280 C. Article 293 D. Article 265

TNPSC Indian Economy Quiz: Union Budget, Fiscal Deficit, GST & FRBM Act

Related Content