Tax Credits - AP Macroeconomics

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Question

A tax credit describes an element of tax policy that ________.

Answer

Tax law includes small exemptions and refunds, which are known as tax credits. Often, these tax credits are provided for groups of people like homebuyers, parents, and students. Tax credits are also usually seen as a way to lighten specific tax burdens without rewriting or transforming tax policy.

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Question

A tax credit describes an element of tax policy that ________.

Answer

Tax law includes small exemptions and refunds, which are known as tax credits. Often, these tax credits are provided for groups of people like homebuyers, parents, and students. Tax credits are also usually seen as a way to lighten specific tax burdens without rewriting or transforming tax policy.

Compare your answer with the correct one above

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