The city government of Pleasantville promised significant tax breaks to a large retailer if it opened a store in Pleasantville,which would result in nearly 200 new local jobs.However,the retailer decided that it would staff the new Pleasantville store with employees from its other stores,meaning no new jobs were created.As a result,the city of Pleasantville instituted clawbacks by

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Clawbacks refer to taking back incentives or benefits that were previously given when certain conditions are not met. In this scenario, the condition for tax breaks was the creation of nearly 200 new local jobs. Since the retailer did not fulfill this condition and instead staffed the store with employees from other stores, the city of Pleasantville can rescind the tax breaks given to the retailer as a form of clawback. This would mean that the retailer would have to pay the full tax amount without the promised tax breaks.

The City Government of Pleasantville Promised Significant Tax Breaks to a Large