Our Federal corporate tax laws provide numerous incentives intended to promote certain activities,
Our Federal corporate tax laws provide numerous incentives intended to promote certain activities, industries and job creation. Some argue that these measures are ineffective while others say that they do not go far enough in stimulating the economy and employment. Four examples of tax incentives offered by the Federal government are: (1) the Credit for Increasing Research Activities (IRC Section 41), (2) the Work Opportunity Tax Credit (IRC Section 51), (3) the Energy Tax Credit (IRC Section 48), and (4) the Domestic Manufacturing Deduction (IRC Section 199).
Carefully review the Grading Rubric for the criteria that will be used to evaluate your assignment.
In an eight- to ten-page paper (formatted according to APA style guidelines), provide an analysis of the following:
For each of the four above federal corporate tax programs:
Provide an overview of the program citing changes in the legislation since inception.
Analyze the effectiveness of the program in terms of meeting its intended purpose.
Evaluate unintended tax and non-tax consequences of this legislation that have resulted from its passage.
Next, design and describe specific modifications that you would recommend to each of the above-mentioned programs. Evaluate the projected impact of these changes including the effect, if any, to:
Gross National Product
Unemployment rate
Federal tax revenue
Finally, include in your analysis a discussion of the likelihood of passage of these proposed changes taking into account the potential effect of these changes on federal deficit levels and the political process involved in enacting federal tax reform.
Writing the Final Paper
The Final Paper:
Must be eight to ten double-spaced pages in length (not including the title and reference pages) and formatted according to APA style
Must include a title page with the following:
Title of paper
Student’s name
Course name and number
Instructor’s name
Date submitted
Must begin with an introductory paragraph that has a succinct thesis statement.
Must address the topic of the paper with critical thought.
Must end with a conclusion that reaffirms your thesis.
Must use at least five scholarly sources, in addition to the text.
Must document all sources in APA style, as outlined in the Ashford Writing Center.
Must include a separate reference page that is formatted according to APA style
………………………Answer preview…………………….
Credit for Increasing Research Activities (IRC Section 41),
The Research and Experimentation Tax Credit is a general business tax incentive under the Internal Revenue Code that incurs research and development costs. The federal government encourages technological innovation by offering tax incentive for increment in spending in private investment in research and development as it spurs economic growth. This Act was enacted in 1981, has been modified…………………
APA
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