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With which statement does the overlapping waves theory agree?
Child Tax Credit
A tax credit available to taxpayers for each qualifying dependent child, aimed at reducing the taxpayer's liability.
AGI
Adjusted Gross Income (AGI) is a measure of income calculated from your gross income and allows for certain deductions, serving as a basis for calculating taxable income.
Dependent Child
A child who relies on their parent or guardian for more than half of their financial support and meets certain IRS criteria for tax purposes.
Foreign Tax Credit
A tax credit that cannot be refunded for income taxes paid to an external government due to withholdings from foreign income tax.
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