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Tax credit

noun

Definitions

Noun
  1. 1
    A tax incentive which allows certain taxpayers to subtract the amount of the credit they have accrued from the total they owe.

    "A tax credit—it just doesn’t feel like a benefit in the same way that getting your Social Security check does. It doesn’t register with people in the same way, and that has a real impact on support for the program."

  2. 2
    a direct reduction in tax liability (not dependent on the taxpayer's tax bracket) wordnet

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