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Refundable tax credit vs. Nonrefundable tax credit
Refundable Tax Credit
A refundable tax credit allows taxpayers to lower their tax liability to below zero. When this occurs, the government owes the taxpayer a refund.
The additional child tax credit is a refundable tax credit.
"Definitions are provided for terms you will need to remember"
~Tina The Tax Tutor
Hint: Click on the Blue Underline words to view the definitions
