When the annual Union Budget is not passed by the Lok Sabha,

The correct answer is D. Under Article 75(3), the Council of Ministers is collectively responsible to the Lok Sabha. When the House refuses to pass the Budget or a demand for grants, it is treated as a loss of confidence in the government. By convention, the Prime Minister submits the resignation of the entire Council of Ministers to the President.

• A is wrong. The government cannot quietly amend and re-present a rejected Budget. Once the House has defeated it, the constitutional consequence is the government's exit, not a revised document.
• B is wrong. The Rajya Sabha has no role in passing or rejecting the Budget as a financial matter. Under Article 109, its role in money bills is only to recommend, and the Lok Sabha is the House of the People that controls the purse.
• C is wrong. Responsibility here is collective, not individual. The Finance Minister does not resign alone.

The core concept is collective responsibility and parliamentary control over finance. For Mains, this links to the parliamentary form of government and the executive's accountability to the legislature. The 1979 Charan Singh episode is a useful reference point for how such defeats play out.

Trap: Aspirants often confuse individual ministerial responsibility with collective responsibility and pick C.