Electoral Bonds Scheme in India
The Reserve Bank of India Act of 1934, the Representation of Peoples Act of 1951, the Income Tax Act of 1961, and the Companies Act were amended to include electoral bonds through the Finance Act of 2017. Anyone can donate money to political parties through the use of electoral bonds. Political parties may redeem these bonds for cash to cover their election-related expenses within 15 days of obtaining them. The secrecy of the donor’s identity is ensured by this process.
Only the State Bank of India has been permitted by the Indian government to offer electoral bonds. Electoral bonds can be purchased by other bank customers using the various payment methods offered. An electoral bond donation needs to be at least Rs 1000.
Electoral Bonds
Electoral bonds were introduced with the Finance Bill of 2017. They are securities or instruments that are used to make financial contributions to political parties. Notification of the Electoral Bonds came out in 2018.
In this article, we will learn about Electoral Bonds in detail, including their scheme, recent update, eligibility, advantages, and disadvantages.
Table of Content
- What are Electoral Bonds?
- Electoral Bonds Scheme in India
- Supreme Court Declared Electoral Bonds Unconstitutional
- Electoral Bonds Under Scrutiny in Supreme Court
- Supreme Court’s Hearing on Electoral Bonds Scheme
- Eligibility for Electoral Bonds Scheme