What is Tax incentives?

Tax incentives are financial benefits or reductions in tax liabilities offered by governments to encourage specific behaviors or activities, such as investment, job creation, or research and development. These incentives can take various forms, including tax credits, deductions, exemptions, or lower tax rates. They aim to stimulate economic growth, attract businesses, and promote social objectives. By reducing the tax burden, tax incentives can influence individual and corporate decision-making.