© examsnet.com
Question : 2
Total: 4
How are tax receipts different from non-tax receipts? Discuss briefly.
Solution:
Difference between tax receipt and non-tax receipts :
| Basis | Tax Receipts | Non-Tax Receipts |
|---|---|---|
| (i) Meaning | Tax revenue includes receipts from all types of taxes. | Non tax revenue is the revenue of the government from sources other than taxes. |
| (ii) Nature | A tax is a legal and compulsory payment imposed by the government. | It is not a compulsory payment. |
| (iii) Benefit | No direct benefit is received in exchange of tax paid. | It is a paid in lieu of the benefit or services received. |
| (iv)Examples | Income tax, wealth tax, GST etc. | Fees, fines, licence fee etc. |
© examsnet.com
Go to Question: