Tax Credit

A tax credit is a sum deducted from the total amount a taxpayer owes to the state. A tax credit may be granted for various types of taxes, such as an income tax, property tax, or VAT. It may be granted in recognition of taxes already paid, as a subsidy, or to encourage investment or other behaviors. In some systems tax credits are 'refundable' to the extent they exceed the relevant tax. Tax systems may grant tax credits to businesses or individuals, and such grants vary by type of credit.

Read more about Tax Credit:  Credit For Payments, Individual Income Tax Credits, Business Tax Credits, United States, Value Added Tax, Foreign Tax Credit, Credits For Alternative Tax Bases

Famous quotes containing the words tax and/or credit:

    Parents are used to being made to feel guilty about...their contribution to the population problem, the school tax burden, and declining test scores. They expect to be blamed by teachers and psychologists, if not by police. And they will be blamed by the children themselves. It is hardy a wonder, then, that they withdraw into what used to be called “permissiveness” but is really neglect.
    C. John Sommerville (20th century)

    Bless my soul, Sir, will you Britons not credit that an American can be a gentleman, & have read the Waverly Novels, tho every digit may have been in the tar-bucket?
    Herman Melville (1819–1891)