Looking for reliable answers? Westonci.ca is the ultimate Q&A platform where experts share their knowledge on various topics. Our platform connects you with professionals ready to provide precise answers to all your questions in various areas of expertise. Our platform provides a seamless experience for finding reliable answers from a network of experienced professionals.

How investment tax credit and employment tax credit can be used to address unemployment?

Sagot :

Answer:

Investment tax credit means that companies will pay less taxes if they invest in new projects. These new projects will need people to work on them for it to be successful. When companies take advantage of investment tax credits therefore and invest, they end up hiring people which would reduce unemployment.

Employment tax credit has a more direct effect on unemployment. It reduces taxes per worker hired so if an employer wants to take advantage of this, they should employ more people which would directly reduce unemployment.