tax credit

noun

: an amount of money that is subtracted from taxes owed

Families with children in college will receive a tax credit this year.

Examples of tax credit in a Sentence

Recent Examples on the Web

Georgia offers generous tax incentives, including up to a 30% tax credit for reality television productions that spend at least $500,000 in the state. — Meg James, Los Angeles Times, 15 Sep. 2026

Wayfarer Studios, 1Community, HarbourView Media Group, and Clare LoCicero are co-financing the feature with tax credit financing provided by Three Point Capital. — Rosy Cordero, Deadline, 14 Sep. 2026

The executive pointed to France’s audiovisual tax credit and France 2030 investment plan as part of a strategy that had helped make the country a stronger production hub. — Elsa Keslassy, Variety, 11 Sep. 2026

In Denver, there’s a 13% vacancy rate among 60% AMI units financed by the federal tax credit program — and a 21% vacancy rate for 80% AMI units, according to the Colorado Housing and Finance Authority. — ABC News, 7 Sep. 2026

Rhymes for tax credit

• accredit
• discredit
• noncredit
• dedit
• edit
• microcredit

Legal Definition

tax credit

noun

: an amount that may be subtracted from the sum of tax otherwise due and that is distinguished from a deduction applied to gross income in the calculation of taxable income compare exemption