tax deduction

American  

noun

1. an expenditure that is deducted from taxable income.

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tax deduction Cultural  

1. An expense, such as a charitable contribution, that can be deducted from one's taxable income. Unlike a tax shelter, a tax deduction does not necessarily take the form of an investment.

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Example Sentences

You get the upfront tax deduction, but can dole the funds out to charity over future years.

From Barron's

That way, you get the tax deduction now for the contribution, and pay taxes on the distributions later.

From Barron's

Workers may miss the nuance of tip and overtime tax deduction rules, and they may overlook other income sources the IRS counts as taxable, Brown noted.

From MarketWatch

Still, most government benefits go to the nonpoor, mostly in the form of tax deductions and credits.

From Washington Post

For the first time, the tax deduction that educators for kindergarten through 12th grade can take is rising.

From New York Times