Klemm (2010) define tax incentives “as all the measures that provide for an unambiguously more favourable tax treatment of particular sectors, type of firms, activities or investments relative to the standard tax regime applying to general industry”. These tax incentives can take many forms, which include, but are not limited to, the following: tax holidays, special zones, investment tax credits, investment allowances, accelerated depreciation, and reduced tax rates.  

Required: 

Briefly explain any three (3), using practical examples in Ghana, each and distinguish between the following pair of terms with respect to tax planning:

1. Tax holiday  and Tax rebates/refund
2. Tax Exemptions and Tax Reliefs
3.  Special Zones and  Reduced Tax Rates for Different Locations        

 Cross Subsidization and Fiscal Stimulus to Private Businesses