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tax-exempt

[ taks-ig-zempt ]

adjective

  1. not subject or liable to taxation:

    tax-exempt imports.

  2. providing income that is not taxable:

    tax-exempt municipal bonds.



noun

  1. a tax-exempt security.

tax-exempt

adjective

  1. (of an income or property) exempt from taxation
  2. (of an asset) earning income that is not subject to taxation


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Word History and Origins

Origin of tax-exempt1

First recorded in 1920–25

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Example Sentences

But having reached something of a compromise, the IRS approved the school as a tax-exempt nonprofit in March 2002.

The tax-exempt donations do not appear to run afoul of U.S. law.

In March 2010, the IRS office began looking at the tax exempt status of tea party groups.

But as a matter of law, these tax-exempt organizations do maintain a pro-forma nonpartisan posture.

The commissioner of the IRS Tax Exempt and Government Entities Division was forced into retirement.

The tax-exempt organizations have a vested interest in the oppressive, inequitable, and wasteful federal-income-tax system.

These accumulations of tax-exempt billions place a heavier burden on taxpayers.

But the Cox resolution was adopted in 1952; and the Cox committee to investigate tax-exempt foundations was set up.

As the income tax rate decreases, the yield from tax-exempt securities diminishes proportionately.

The yield of tax-exempt securities at prevailing prices ranges from 3-1/2% to nearly 4-1/2%.

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tax evasiontax exile