Revenue Expenditure in Government Budget – definition, types examples class 12

Looking for what is revenue expenditure. Its definition, types, and examples, as per the class 12 syllabus.

This topic is concerned with the government budget chapter of Macroeconomics.

Revenue Expenditures are one of the components of a Capital Budget or Budget Expenditures.

What is Revenue Expenditure (Class 12)

Revenue expenditure is expenditure incurred for purposes other than the creation of physical and financial assets of the central government.

It relates to those expenses incurred for the normal functioning of the government departments and various services such as

1. interest payments on debt incurred by the government
2. Grants given to state governments and other parties

Definition of Revenue Expenditure (Class 12)

Following are the various definition of revenue expenditure.

Revenue expenditure refers to estimated expenditure of the government is a fiscal year which does not create assets or causes a reduction in liabilities.

T. R Jain

Revenue expenditure refers to the expenditure which neither creates any assets nor causes reduction in any liability of the government.

Sandeep Garg

Revenue expenditure is the expenditure which does not lead to any creation of assets or reduction in liabilities.

S.K Aggarwal

Examples of Revenue Expenditure (Class 12)

Expenditure on salaries by government, pensions, interest, subsidies, grants etc.,

Topic	Chapters (Unit)
Syllabus	Syllabus of Government Budget and the Economy chapter Economics class 12

S.N	Government Budget and the Economy
1.	What is Government Budget class 12 | Definition of Government Budget
	What are the components of the government Budget?
2.	What are Revenue Receipts in Government Budget class 12 | Definition of Revenue Receipts in Government Budget
	What the Types of Revenue Receipts in government | What are examples of Revenue Receipts in Government Budget
3.	What are Capital Receipts in Government Budget | Definition of Capital Receipts in Government Budget
	What are the Types of Capital Receipts in Government Budget | What are the examples of Capital Receipts in Government Budget?
4.	What is Revenue Expenditure in Government Budget class 12 | Definition of Revenue Expenditure in Government Budget?
	What are the Types of Revenue Expenditure in Government Budget
	What are the examples of Revenue Expenditure in Government Budget?
5.	What is Capital Expenditure in Government Budget | Definition of Capital Expenditure in Government Budget
	What are the Types of Capital Expenditure in Government Budget | What are the examples of Capital Expenditure in Government Budget?
6.	What is Budgetary Deficit in Government Budget | Definition of Budgetary Deficit in government Budget
	What are the Types of Budgetary Deficit in Government Budget | What are the examples of Budgetary Deficit in Government Budget?
7.	What is Revenue Deficit in Government Budget | Definition of Revenue Deficit in Government Budget
	The formula of Revenue Deficit in Government Budget
	Numerical of Revenue Deficit in Government Budget
8.	What is Fiscal Deficit in Government Budget | Definition of Fiscal Deficit in Government Budget,
	The formula of Fiscal Deficit in Government Budget
	Numerical of Revenue Deficit in Government Budget
9.	What is Primary Deficit in Government Budget | Definition of Primary Deficit in Government Budget
	The Formula of Primary Deficit in Government Budget
	Numerical of Primary Deficit in Government Budget

MCQs of Government Budget for class 12, CUET, CBSE, ISC and state Board

1.	MCQS of Government Budget class 12, CUET, CBSE, ISC
2.	Assertion Reason MCQs of Government Budget class 12, CUET, CBSE, ISC
3.	Matching Type MCQs of Government Budget class 12, CUET, CBSE, ISC
4.	Case/situation Based MCQs of Government Budget class 12, CUET, CBSE, ISC