depletion allowance

American  

noun

1. a tax reduction allowed on income from exhaustible resources, as oil or timber.

---

depletion allowance Cultural  

1. A deduction from taxable income based on the eventual exhaustion or waste of a natural asset, such as an oil field.

---

Example Sentences

See Examples For:

depletion allowance

While industry lobbyists still protested the impending death of the depletion allowance, some individual oil executives were pleased to fend off a much harder blow.

From Time Magazine Archive

Since the price of crude oil on which the size of the depletion allowance is based has doubled over the past year, the write-offs will be even greater in 1973.

From Time Magazine Archive

One reason is that oil companies have less money to spend: Congress has eliminated most of their depletion allowance, and their profits have dropped.

From Time Magazine Archive

Nothing is more sacred to many Congressmen than the depletion allowance.

From Time Magazine Archive

Oil companies grappled with new uncertainties about their future as the House Ways and Means Committee approved a tax bill that fairly soon is likely to wipe out the celebrated depletion allowance.

From Time Magazine Archive