refundable credit meaning

  "refundable credit" in a sentence
[Finance]
A tax credit that is not limited by the amount of an individual's tax liability. Typically a tax credit only reduces an individual's tax liability to zero. Refundable credits go beyond this and so really can be considered the same as a payment.

Examples

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  1. Likewise on the Earned-Income Tax Credit, a refundable credit available to poor working families.
  2. In 1995, about 270, 000 families across the state received an average of $ 1, 100 each for the refundable credit.
  3. He suggested " a combination of something like medical savings accounts, tax incentives and refundable credits for individual insurance policies ."
  4. A refundable credit is one that can lead to a cash payment from the Treasury, if the credit exceeds a filer's liability.

Related Words

  1. refulgently meaning
  2. refund meaning
  3. refund sth to so meaning
  4. refund, tax meaning
  5. refundable meaning
  6. refunded bond meaning
  7. refunder meaning
  8. refunding meaning
  9. refunding escrow deposits (reds) meaning
  10. refundment meaning
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