private sector tax credits

Private sector tax credits are incentives provided by the government to encourage businesses to invest in specific activities or areas, such as job creation, renewable energy, or research and development. When a company qualifies, it can directly reduce the amount of taxes it owes, effectively lowering its tax bill. These credits are designed to promote economic growth and support public policy goals without direct government spending. They benefit companies by lowering costs while advancing societal objectives like innovation, sustainability, or employment.