Which of the following statements are true about capital receipts?
a) All those receipts of the government which create liability or reduce financial assets are termed as capital receipts.
b) The estimates of capital receipts take into account the effects of tax proposals made in the Finance Bill .
c) These receipts can be debt creating or non-debt creating.

a and c

The correct answer is option 4: a and c

The estimates of revenue receipts take into account the effects of tax proposals made in the Finance Bill .

Here's a breakdown of each statement :

a) All those receipts of the government which create liability or reduce financial assets are termed as capital receipts. True. Capital receipts include borrowings, loans, and the sale of assets. They either create liabilities (such as loans) or reduce financial assets (like the sale of government-owned property).

b) The estimates of capital receipts take into account the effects of tax proposals made in the Finance Bill. False. Tax proposals in the Finance Bill affect revenue receipts, not capital receipts. Capital receipts are related to borrowings and asset sales, while revenue receipts involve taxes and other income.

c) These receipts can be debt creating or non-debt creating. True. Capital receipts include both debt-creating receipts (such as loans and borrowings) and non-debt creating receipts (such as the sale of assets).