(1) Every Gram Panchayat shall, at such time and in such manner as may be prescribed, prepare during each year a budget of its estimated receipts and disbursements for the following year and shall submit the budget to the Zilla Parishad having jurisdiction over the area of the Gram Panchayat.
     (2) The Zilla Parishad may, within such time as may be prescribed, either approve the budget or return it to the Gram Panchayat for such modifications as it may direct. On such modifications beingmade the budget shall be resubmitted within such time as may be prescribed for approval of the Zilla Parishad.
     (3) No expenditure shall be incurred unless the budget is approved by the Zilla Parishad. If the Zilla Parishad does not convey its approval within the time prescribed for the purpose, the budget will be deemed to have been approved by the Zilla Parishad