Tax Credit

Tax Credit

Tax Credit

A tax credit is a benefit granted to taxpayers under various government schemes that reduce tax liabilities by offsetting allowable credits against tax owed, potentially resulting in a negative tax liability i.e. a tax rebate. In the UK, tax credits are available for people on low incomes and for people with disabilities. In other countries like the US, Federal tax credits are available for people installing solar photovoltaic cells or other forms of renewable energy.

Related terms