luxury tax

noun

1. a tax on certain goods or services not considered essential and usually relatively high in price.

Word History and Origins

Origin of luxury tax¹

First recorded in 1900–05

Example Sentences

What’s more, bringing on his contract required the Celtics to ship starting center Daniel Theis to the Bulls so that they could avoid paying the luxury tax.

From Washington Post

Adding Fournier’s salary with a trade exception led Boston to ship out Theis, a quality glue guy, so that it could duck under the luxury tax line.

From Washington Post

With Boston dealing with unbalanced lineups and needing to get under the luxury tax after acquiring Evan Fournier from the Orlando Magic just before the deadline, Theis became the odd man out.

From Washington Post

NHL teams are subjected to a hard salary cap limit, meaning they don’t even have the option to go over the limit and pay a luxury tax.

From FiveThirtyEight

If the NBA loses out on 40 percent of its revenue because fans can’t safely attend games in person, taxpaying teams will see their luxury tax bills drop by 40 percent.

From Washington Post

The only other source of additional revenue in immediate contemplation appears to be the luxury tax.

From Project Gutenberg

Second, the government has abolished the undesirable luxury tax.

From Project Gutenberg