tax-exempt
Americanadjective
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not subject or liable to taxation.
tax-exempt imports.
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providing income that is not taxable.
tax-exempt municipal bonds.
noun
adjective
-
(of an income or property) exempt from taxation
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(of an asset) earning income that is not subject to taxation
Etymology
Origin of tax-exempt
First recorded in 1920–25
Example Sentences
Examples are provided to illustrate real-world usage of words in context. Any opinions expressed do not reflect the views of Dictionary.com.
As a condition of being tax-exempt, nonprofit private schools must attest that they won’t discriminate based on race, color, or national or ethnic origin.
From Salon ● Jul. 27, 2026
These work well for Japanese residents, but the U.S. does not recognize their tax-exempt status.
From MarketWatch ● Jul. 2, 2026
Under federal tax-exempt organization law, he said, the “private benefit doctrine” governs whether a nonprofit’s overall activities unduly benefit any single individual — including through indirect payments to entities they own.
From Los Angeles Times ● Jun. 25, 2026
Already, Japan has offered nudges like expanding tax-exempt investment accounts to woo some of the $7 trillion, or half of Japanese households’ wealth, that has been parked in cash into equities.
From Barron's ● May 20, 2026
Securities -- N. securities, stocks, common stock, preferred stock, bonds, puts, calls, options, option contract, warrants, commercial paper, bearer bond, tax-exempt bond, callable bond, convertable bond†. share, stock certificate; coupon, bond coupon. liquid assets.
From Roget's Thesaurus of English Words and Phrases by Roget, Peter Mark
Definitions and idiom definitions from Dictionary.com Unabridged, based on the Random House Unabridged Dictionary, © Random House, Inc. 2023
Idioms from The American Heritage® Idioms Dictionary copyright © 2002, 2001, 1995 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company.
