Refundable tax credit programs call for a business or individual to receive a refund that is worth more than the amount of taxes owed. This means the state ends up paying certain companies and individuals back for taxes they never would have collected in the first place.
Bobby Jindal will propose scaling back Louisiana's tax credits Friday(February 26, 2015 The Times-Picayune)
If one gets a credit for more than the actual tax one would normally pay, then that is indeed welfare.