Consider the following statements regarding the powers of the Rajya Sabha in financial matters: 1. Rajya Sabha has no power to reject or amend a Money Bill. 2. Rajya Sabha cannot vote on demands for grants. 3. Rajya Sabha cannot participate in the discussion of the Annual Financial Statement. Which of the statements given above are correct?

Explanation

The Rajya Sabha has limited powers regarding Money Bills; it can neither reject nor amend them. It can only make recommendations and must return the bill to the Lok Sabha within 14 days. Thus, statement 1 is correct. Demands for grants are voted upon exclusively by the Lok Sabha, hence the Rajya Sabha cannot vote on them, making statement 2 correct. However, Rajya Sabha can discuss the Annual Financial Statement (Budget) when it is presented. Thus, statement 3 is incorrect.