Difference between Capital and Revenue Receipts

Types of Receipts in Budget - Teachoo.JPG

Difference between Revenue & Capital Receipts - Teachoo.JPG


Transcript

Types of Receipts in Budget Revenue Receipts Capital Receipts It refers to Receipts which are not redeemable (which cannot be Returned or reclaimed) It Receipts which increase liability Or Reduce Financial Assets Difference between Revenue & Capital Receipts Revenue Receipts They are Non-Redeemable (They do not have to be Returned) Example USA Aid Govt They are recurring in nature Example Public Govt Tax will be collected again and again Capital Receipts They are Redeemable (They have to be Returned) Example USA Loan Govt They are non recurring Example Public Govt Public may not invest again in Bonds

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Maninder Singh

CA Maninder Singh is a Chartered Accountant for the past 14 years and a teacher from the past 18 years. He teaches Science, Economics, Accounting and English at Teachoo