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Business, 24.12.2019 01:31, sgalvis455
Ahmad is considering making a $10,000 investment in a venture whose promoter promises will generate immediate tax benefits for him. ahmad, who normally itemizes his deductions, is in the 32% marginal tax bracket. if the investment is of a type where the taxpayer may claim either a tax credit of 25% of the amount of the expenditure or an itemized deduction for the amount of the investment, what treatment is likely most beneficial to ahmad, and by how much will ahmad's tax liability decline because of the investment?
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