negative tax

noun

1. Also called: negative income tax. a payment by the State to a person with a low income, the magnitude of the payment increasing as the income decreases. It is regarded as a form of social welfare

Example Sentences

As a result, in 2021, an unusually high share of households had either zero or negative tax liabilities — even when accounting for all federal income, payroll and excises taxes — Congress’s nonpartisan Joint Committee on Taxation estimated that year.

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One-off costs are expected to total almost 300 million euros, mainly linked to Adidas's exit from Russia as well as negative tax effects related to the split from Ye, the company said, adding that this would be fully compensated by a positive tax effect of similar size in the fourth quarter.

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According to the nonpartisan Institute on Taxation and Economic Policy, 26 profitable corporations paid no income tax or recorded a negative tax rate since the 2017 tax cut bill.

Read more on Los Angeles Times

“If the federal government intends to forbid any sort of revenue negative tax policy, no matter what its size, because a state received some funding, that would be a radical federal entanglement in state fiscal policy that may go beyond what was intended,” Mr. Walczak said.

Read more on New York Times

Despite making billions in profits, a number of them receive tax rebates exceeding their income tax bills, giving them effectively a negative tax rate.

Read more on Seattle Times