Question

Difference between revenue receipt and capital receipt in budget

Answer 1

1..Revenue receipt in bugdet creates benifit for future where's capital receipt doesn't create benefit for future

2..Revenue receipt in bugdet used in routine activities while capital receipt in bugdet used only for operating activities

Answer 2

Answer:

1. Capital receipts create liabilities or increase share capital whereas revenue receipts do not have such consequences.
2. Capital receipts are of a non recurring nature whereas revenue receipts are of a recurring nature.