Why are Subsidies Treated as Revenue Expenditure?
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Why are Subsidies Treated as Revenue Expenditure?

Why are Subsidies Treated as Revenue Expenditure?
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Why are Subsidies Treated as Revenue Expenditure?

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Subsidies are treated as Revenue Expenditure by the government, because this expenditured.

  1. Does not reduce liability of the government not as to assets of the Government, nor
  2. Adds to assets of the Government.
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