Definitions for "Tax credits"
Tax you receive back in certain circumstances, e.g. pension credit, child tax credit and working tax credit.
Tax credits include any special provision of law that results in a dollar-for-dollar reduction in tax liabilities that would otherwise be due. In some cases, tax credits may be carried forward or backward from one tax year to another, while other tax credits lapse if not used in the year earned. Tax credits may result in a reduction of tax collections or an increase in the value of tax refunds.
An amount the Internal Revenue Service allows you to deduct directly from the tax calculated on your taxable income. It is a dollar for dollar reduction of your taxes. Some of the credits include the Earned Income Credit, Child and Dependent Care Credit, Child Tax Credit, education credits, and Credit for the Elderly or Disabled. Credits can be nonrefundable (cannot reduce your tax liability below zero), or refundable (can reduce your liability below zero, entitling you to money back from the government).
Keywords:  payers, deduct, directly, money, amount
The amount of money that tax payers can deduct directly from their taxes.