The Federal Tax Credits Blog

Posts Tagged ‘sustainability’

April Gerdes – Pulling New Credit Reports at Funding – The Mortgage Advantage

Reportlinker Adds Solar PV Inverters – Global Market Size, Price Analysis, Regulations and Competitive Analysis to 2020

Reportlinker.com announces that a new market research report is available in its catalogue:

Bioenergy Company’s Expansion Brings More Jobs, Clean Energy to Northern BC

Hedge Fund Survey, Madoff, Popcorn Disclosure, Energy Bill: Compliance

One in four hedge funds is already clearing over-the-counter derivative trades, up from none in October, before new rules require changes later this year to the $583 trillion market, according to analysts at UBS AG.

Road to Endless War – Part 1 of 6

Question: What is the reason for deductions and credits?

I am just wondering why we have so many deductions and credits in our tax system. Wouldn’t it be much simpler for everyone (businesses, the public and the government) if we all just paid our share and we had fewer deductions and loopholes? I understand some of the deductions we give such as deductions for children (obviously a family should pay less than a single guy only supporting himself), and some other deductions which offer incentives for doing things that are beneficial (such as tax breaks to green energy companies to research new energy). But why do we have SO MANY deductions and credits?

Answer: While I agree that the tax code is extremely complex, it is not because of the deductions and credits.

Deductions and credits serve two purposes. First, they do encourage behavior that the government support. Second, they stimulate the economy. If we paid more money to the government, we would have less money to spend on things such as housing. Without a deduction for mortgage interest, people would be less inclined to buy houses.

As far as supporting large families, taxpayers only get credits for the first two children they have. They get dependency exemptions, but without them people would go broke. Furthermore, families with large incomes get exempt from lots of the deductions and credits. Notice at the bottom of schedule A where you have to determine if your deductions are limited. These deductions and credits do help the people they are intended to.

The only reason the tax code is so complicated is because people try to beat the system. They attempt the breaks allowed by the government to benefit themselves even if they were not originally intended to. If you really look at each deduction and credit, they are all useful.

MEDC’s high-tech business tax credits, film incentives would be phased out under Rick Snyder plan

Film industry incentives and high-tech business tax credits distributed by the Michigan Economic Development Corp. would be eliminated as part of Gov. Rick Snyder’s proposal to restructure the state’s business tax structure, according to a Detroit News report…….

Business Energy Investment Tax Credit

Question: If the government is serious about reducing carbon emissions, why doesn’t it give corporations tax credits?

to have its employees telecommute? Imagine the reduction in carbon emissions that would result from this. It would also reduce our dependency on foreign oil.

Answer: Instead of a tax credit, I believe they just got Cap and Trade?

Nigeria Government & ECCO2 Corp Announce Launch for $90 Billion Cleantech Project to Reduce Carbon Emissions and …

LAGOS, NIGERIA–(Marketwire – 10/08/10) – Nigeria Minister of Environment John Ogar Odey and ECCO2 Corp, ( www.ecco2corp.org ), an affiliate organization of United Nations Framework Convention on Climate Change ( www.unfccc.int ) have started plans to immediately launch “ECCO2 Nigeria Project” in efforts to reduce greenhouse gases, carbon …

Carbon offset trading fraud — huge criminal activity