LO.7 Discuss the probable justification for each of the following provisions of the tax law:

a. A tax credit allowed for electricity produced from renewable sources.

b. A tax credit allowed for the purchase of a motor vehicle that operates on an alternative fuel source (i.e., nonfossil fuels).

c. The deduction for personal casualty losses is subject to dollar and percentage limitations.

d. Favorable treatment accorded to research and development expenditures.

e. A deduction allowed for income resulting from U.S. production (manufacturing)

activities.

f. The deduction allowed for contributions to qualified charitable organizations.

g. An election that allows certain corporations to avoid the corporate income tax and pass losses through to their shareholders.