; and (ii) treat all Federal taxes paid by a legal business entity as a burden on the State in which economic activity of such entity is performed in the same proportion that the economic activity of such entity in such State bears to the economic activity of such entity in all the States. (C) Federal outlays For purposes of subparagraph (A), a Federal contract award shall be treated as a Federal outlay received by each State in which performance under the award takes place in the same proportion that such performance in such State bears to such performance in all the States. (4) Eligible individual (A) In general The term eligible individual means any individual who is— (i) the taxpayer, the spouse of the taxpayer, or a dependent of the taxpayer, (ii) a citizen of the United States or lawfully present in the United States, and (iii) a resident of the payor State for more than half of the taxable year. (B) Exception The term eligible individual does not include— (i) any individual with respect to whom a deduction under section 151 is allowable to another taxpayer for a taxable year beginning in the calendar year in which the individual’s taxable year begins, or (ii) an estate or trust. (c) Treatment of credit The credit allowed by subsection (a) shall be treated as allowed by subpart C of part IV of subchapter A of chapter 1. (d) Coordination with advance refunds of credit (1) In general The amount of credit which would (but for this paragraph) be allowable under this section shall be reduced (but not below zero) by the aggregate refunds and credits made or allowed to the taxpayer under subsection (e). Any failure to so reduce the credit shall be treated as arising out of a mathematical or clerical error and assessed according to section 6213(b)(1). (2) Joint returns In the case of a refund or credit made or allowed under subsection (e) with respect to a joint return, half of such refund or credit shall be treated as having been made or allowed to each individual filing such return. (e) Advance refunds and