tax credits
...dit cannot reduce the tax owed below zero, and hence cannot cause a taxpayer to receive a refund in excess of their payments into the tax system. A tax credit can really benefit a business financially. For example, a business may gross 350,000 in a year but they had several business expenses through the year. The business bought several computers and vehicles, so they will file these items on their taxes. After filing the items on their taxes, they would have to pay less taxes back that year, because of those expenses. This would save the company a great deal of money at the end of the year. Also a company can receive a huge tax credit, which may result in the company receiving a refund at the end of the year. This would really help the company. For example, a company may want to start a new project the next year, and with the tax refund they ...