Refundable Credits

This section illustrates those credits that can reduce a taxpayer’s tax bill below $0, resulting in a refund to the taxpayer

These Refundable Credits include the Earned Income Credit (calculated), the American Opportunity Credit, the Premium Tax Credit, the Refundable Child Tax Credit, and a handful of others. Note that in Peter and Paula's case below, there are no refundable credits claimed.





The "Earned Income Credit," "Refundable American Opportunity Credit," "Premium Tax Credit," and "Other Refundable Credit" subsections can be expanded to provide further detail on those specific line item credits as seen below.

More details on modeling the PTC can be found here.