What Are the Pros and Cons of the Following State

question 41

Essay

What are the pros and cons of the following state and local tax provisions?
a.An ad valorem property tax holiday made available to a manufacturing plant that is relocating.
a.Such a holiday is designed to attract new industry to the area.This will bring more jobs and growth in consumption.On the other hand, if the tax holiday is too generous, this places a strain on available public revenue.The result could
b.Hotel occupancy tax and a rental car surcharge.
c.A back-to-school sales tax holiday.

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Definitions:

Adjusting Entry

A journal entry made at the end of an accounting period to allocate income and expenditures to the appropriate period.

Accrued Fees

Accrued Fees refer to charges incurred by an entity for services performed but not yet billed or paid at the reporting date.

Adjusting Entry

An accounting record entry, created at the conclusion of an accounting cycle, that distributes earnings and expenses to their respective years.

Unearned Fees

Income received by a company for services to be provided in the future; recognized as a liability until the services are rendered.