Which of the following is an example of revenue receipt in the government budget?

Correct option is C

The correct answer is (c )Dividends received from a state-owned enterprise.
· Dividends received from state-owned enterprises are considered revenue receipts because they represent the government's earnings from its ownership stakes in public sector companies and do not create any liability or reduce the government’s assets.
· Revenue receipts are the funds that the government receives which do not create any liability or reduce any assets.
· They are part of the government's current income and are crucial for funding various public expenditures.
Facts to remember:
· Other Types of Receipts:
· Capital Receipts: Include funds that create liabilities or reduce assets, such as:
· Sale of Government-Owned Land: Reduces assets.
· Repayment of a Loan by a State-Owned Company: Recovers a loan, reducing the government's assets.
· Borrowing Money from International Organizations: Creates a liability.