The Constitution of India
Article 282
Expenditure defrayable by the Union or a State out of its revenues
The Union or a State may make any grants for any public purpose, notwithstanding that the purpose is not one with respect to which Parliament or the Legislature of the State, as the case may be, may make laws.
Why this exists
India's Constitution divides law-making powers between the Union and the States through detailed lists (Union, State, and Concurrent Lists). But governments often need to fund projects—disaster relief, welfare schemes, infrastructure—that don't neatly fit any list, or that belong to the other government's domain. Article 282 was added to give both levels of government flexibility to spend money for public good without being blocked by the strict legislative-competence rules that apply to law-making.
How courts read it
Courts have not produced a single landmark judgment defining the outer limits of Article 282. It is mostly discussed in policy and Finance Commission reports rather than major litigation, particularly around the Union's use of 'Centrally Sponsored Schemes'—critics argue such schemes let the Centre attach conditions to money given to States, indirectly influencing State subjects, while defenders say Article 282 was always meant to allow flexible, purpose-based grants outside the ordinary legislative-list framework.
Common misconceptions
- Myth: Article 282 lets governments spend money on absolutely anything without any checks.
Fact: It only covers grants for a 'public purpose'; other constitutional requirements (like budget approval by the legislature) still apply. - Myth: Article 282 is the main source of all grants between the Union and States.
Fact: Ordinary revenue-sharing and grants-in-aid mostly happen through Articles 270, 275, and Finance Commission recommendations; Article 282 is meant for additional, purpose-specific grants outside that regular framework.