PPA

Tax Incentives

Like the federal government, state and local governments offer tax incentives to businesses to help solve economic and/or environmental issues. Read the following articles and briefly describe the tax incentive(s) being offered and by which government. Determine what economic problem(s) government is trying to solve by offering the incentive(s), and do your best to evaluate the costs and benefits of the incentive.

· Brunori, D. (2014, March 19).  Hawaii tax credit craziness (Links to an external site.) . Forbes. Retrieved from http://www.forbes.com/sites/taxanalysts/2014/03/19/hawaii-tax-credit-craziness/

· Harpaz, J. (2014, January 28).  Will tax incentives make Austin the video game capital of the world? (Links to an external site.)  Forbes. Retrieved from http://www.forbes.com/sites/joeharpaz/2014/01/28/will-tax-incentives-make-austin-the-video-game-capital-of-the-world/

· Woodhill, L. (2014, April 6).  Want jobs? Focus on incentives, not “stimulus.” (Links to an external site.)  Forbes. Retrieved from http://www.forbes.com/sites/louiswoodhill/2014/04/06/want-jobs-focus-on-incentives-not-stimulus/

 

Property Taxes

Property taxes are invaluable to local governments and provide a good portion of their overall revenues. As such, it is valuable to learn more about them as they are often misunderstood. First, research property tax in your state (Alabama): Who assesses property? What valuation standard is used? In what cycles are properties assessed? What classification system is used? What methods of property-tax relief are used for those in need? Then discuss why property tax is often the most-disliked tax. What are some reasons people seem to dislike it more than other taxes? Respond to at least two of your classmates’ postings.

Required Resources

Text

Mikesell, J. (2018).  Fiscal administration: Analysis and applications for the public sector  (10th ed.). Retrieved from https://redshelf.com/

· Chapter 8: Taxation: Criteria for Evaluating Revenue Options

· Chapter 9: Major Tax Structures: Income Taxes

· Chapter 10: Major Tax Structures: Taxes on Goods and Services

· Chapter 11: Major Tax Structures: Property Taxes

Articles

Brunori, D. (2014, March 19). Hawaii tax credit craziness (Links to an external site.) . Forbes. Retrieved from http://www.forbes.com/sites/taxanalysts/2014/03/19/hawaii-tax-credit-craziness/

Harpaz, J. (2014, January 28). Will tax incentives make Austin the video game capital of the world? (Links to an external site.)  Forbes. Retrieved from http://www.forbes.com/sites/joeharpaz/2014/01/28/will-tax-incentives-make-austin-the-video-game-capital-of-the-world/ 

Woodhill, L. (2014, April 6). Want jobs? Focus on incentives, not “stimulus.” (Links to an external site.)  Forbes. Retrieved from http://www.forbes.com/sites/louiswoodhill/2014/04/06/want-jobs-focus-on-incentives-not-stimulus/