The government uses taxes to generate money. The money a government earns from taxes is called ‘revenue’. The largest two are called the ‘Income Tax’ and the ‘Good and Services Tax (GST)’.
Whenever the government spends money this is called ‘expenditure’. It helps its citizens by providing free healthcare, education, roads, and defence forces.
Every country also needs to borrow money from international banks to pay for big projects. This is called the National debt.
Healthcare
Defence
Borrow
Services
Government
Citizens
Banks
Debt
Taxes
Revenue
