1. Reallocation of resources:-
In case, the market economy fails or does not achieve the desired social objectives, the government has to interfere through budget and reallocate resources accordingly. Through its budgetary policy, the government of a country directs the allocation of resources in a manner such that there is a balance between the goals of profit maximization and social welfare. Production of goods which are injurious to health is discouraged through heavy taxation. On the other hand, production of 'socially useful goods' is encouraged through subsidies.
2. Redistribution of Income: - Every economy strives to attain a society, where inequality of income and wealth should be minimum. In order to achieve this objective through govt. budget the government spends sufficient money on social security schemes, economic subsidies and public works etc.

Debt trap refers to a situation in which government borrows new funds to pay previous loan or to pay interest on previous loans, this creates a trap for the government and burden of future payments mounts up.In order to solve this problem
government may resort to disinvestment or may reduce wasteful expenditures like unnecessary subsidies,etc.,

Even distribution of income, objective wealth and social welfare is one of the objective of budgetary policy.The government uses progressive taxation policy to reduce the inequalities of income and wealth in the country.people with higher incomes are levied higher rate of tax and people with lower income are levied lower rate of tax.people with income below a certain limit are not levied any direct tax altogether. 

Public goods are those goods and services for which consumption by some individuals, do not reduce the amount available to others. Example parks, roads. People receive benefits from public good but do not pay for them. Such a good can be produced only by governmentvalu

In case of surplus budget, government is taking more money from the economy than injecting into it. It results in a fall in aggregate demand which is considered good to check inflation.

Entertainment tax is an indirect tax, as the liability to pay this tax is of the industry which entertains, like the cinema industry, but it shifts the burden of this tax on the customers i.e. cinema-viewers

Revenue  Deficit
                         = Revenue receipts - Revenue receipts  
                         = 60000-50000= Rs 1000 crore

Fiscal Deficit  = Primary Deficit + Interest Payment =6500+400=Rs 6900 crore

Government can, through the budget, influence allocation of resources via the market mechanism, with the help of taxes, subsidies and by direct participation in production. Production units which produce harmful products like liquor, cigarettes, pan masala etc. can be heavily taxed. Tax concessions and subsidies should be given to encourage those production units which produce products that are useful for the masses.
Government can also directly produce goods and services which are normally ignored by the private sector, on account of lack of enough profit from their production.