Should benefits that require contributions and benefits based on need continue or change? An entitlement is a government-provided benefit to which a person or group is legally entitled, which cannot be revoked, except by a change in the law. Types of benefit distribution includes:
1. Direct spending: the government sends funds direct to qualified persons.
Example: The government provides funds to pay for expenses.
2. Tax expenditures (tax breaks): a person’s taxes (or the income on which he pays taxes) are reduced.
Example, expenses can be deducted from income, and in turn, the taxable income total is lowered.
3. Subsidies: The government pays a portion of the cost of some good or service.
Example, the State tax revenue pays a portion of the cost for students to attend Community college to keep tuition cost low.
2006-11-27
04:06:53
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4 answers
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asked by
Daniel C
1
in
Politics & Government
➔ Politics