Tax Incentives For a Better America
One of the practices applied in taxation systems of many countries is tax incentives. Tax incentives constitute measures that lead to subjecting specific activities or sectors to a tax treatment that favors them in comparison to what the general industry is granted. The below discussion looks at how tax incentives can create a better America.
Giving tax incentives is one way of ensuring that the American environment favors investment. The US government at the state and federal levels began implementing diverse forms of tax incentives in order to motivate investment in films made in the US. Applying tax incentives in America is therefore likely to spur the growth of industries whose economic contribution will be significant in future. Therefore tax incentives can act as a measure of encouraging investment in the US and discouraging investors from moving to other countries.
Tax incentives can serve the American citizens by encouraging them to save. Saving money is one sure way of ensuring that Americans have enough money for their retirement. American leadership has in the past attempted to do this. Expansion of tax incentives was advocated for by the US government under Bush in order to encourage savings. Savings can go along way in ensuring that Americans save enough money that can help them in old age and also investing in small scale businesses. Offering tax incentives makes this possible.
In conclusion, applying tax incentives will encourage investment activities in America and this can create and add to the already existing jobs in the long run. Tax incentives will also improve the lives of American citizens through saving for old age and for investing in their own businesses. Provision of necessary services such as medical care and education also primarily lies on the tax collected.