Question

Under current tax codes, people receive deductions on their tax liability for donations made to charities. This is an example of

Answer 1

The third answer is correct (C).

This is an example of positive encouragement.

An incentive is considered as a stimulus that is offered to a person, company or industry with a specific purpose like increasing the productivity of the economy or increasing the tax revenue.

In the case described, the incentive aims to boost a social cause, that is, to help a vulnerable group.

Answer 2

Your answer is c because they put donations in for charity!