07 September 2013
it means if now u have suppose a tax liability to be paid for say 5,000 then as per income tax act you are eligible for paying 3,000 only i.e 5,000-2,000 net amount as alredy u have paid 2,000 which is called tax credit.
07 September 2013
Agreed, Advance deducted or Deposited tax before finalized tax liability its called tax credit, it can be utilized in tax liability and excess can claim as refund but if less then you have to pay remaining amount after utilize tax credit as per above example given by expert
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