Business Tax Credits


DEFINITION of 'Business Tax Credits'

A number of federal income tax credits available to businesses that are grouped together and can be claimed using IRS Form 3800. Business tax credits include the following credits: investment, work opportunity, welfare-to-work, alcohol fuels, research and experimentation, low-income housing, enhanced oil recovery and several other credits. These credits can be subtracted from tax.

BREAKING DOWN 'Business Tax Credits'

The credits must be claimed in the order prescribed in Form 3800, so that if the credit limit for the year is exceeded, the tax credits down the list can be carried forward or back. The total general business credit for the year consists of any carryforward of business credits from prior years plus the current year's business credits.

  1. Alcohol Fuels Credit

    One of several general business credits included on the General ...
  2. General Business Tax Credit

    The total value of all the individual credits to be applied against ...
  3. Tax Credit

    An amount of money that a taxpayer is able to subtract from the ...
  4. Non-Refundable Tax Credit

    A tax credit that can't reduce the amount of tax owed to less ...
  5. Business

    1. An organization or enterprising entity engaged in commercial, ...
  6. Operating Cost

    Expenses associated with the maintenance and administration of ...
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