Exemption


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Related to Exemption: Tax exemption

Exemption

Direct reductions from gross income allowed by the IRS.

Tax Exempt

Describing income or organization that is not subject to taxation. Examples of tax exempt organizations include religious groups and charities. Additionally, certain income an individual or corporation derives may be tax exempt. For example, coupons from a municipal bond are tax exempt at the federal level. See also: Tax credit, tax deduction.

exemption

An annual deduction permitted a taxpayer and each dependent for use in computing taxable income. An extra exemption is allowed for being blind or for being 65 years of age or older. The size of the annual exemption is altered each year according to the level of inflation. Also called personal exemption.

Exemption.

An exemption is a fixed dollar amount that you can subtract from your adjusted gross income to reduce your taxable income. The per-person exemption amount is set by Congress each year, and typically increases from year to year.

If you're over 65 or blind, you qualify for an additional exemption. Taxpayers whose adjusted gross income is higher than the government limit may not qualify for an exemption.

Exemption

A deduction for taxpayer, spouse, and each dependent that is subtracted from income that would otherwise be taxed. The allowable amount must be reduced if adjusted gross income exceeds a specified amount. See our Exemption Allowance rate table for the current amount.
References in periodicals archive ?
Committee member Senator Murtaza Wahab of the Pakistan Peoples Party (PPP) said that an exemption could only be given across the board.
In practice, this exemption is actually a deferral.
The court remarked another application regarding exemption is also lying with the court.
On top of that, income derived from port operations by the China Overseas Ports Holding Company Limited, the China Overseas Ports Holding Company Pakistan (Private) Limited, the Gwadar International Terminal Limited, the Gwadar Marine Services Limited and the Gwadar Free Zone Company Limited has been granted exemption from income tax for 23 years, with effect from Feb 6, 2007.
Another best practice is to insert a provision in the franchise agreement that requires the franchisee to acknowledge the basis for the federal and state exemption.
AUVSI analyzed the first 3,136 exemptions approved by the FAA.
In case of indirect tax also, we are almost losing ` 1 lakh crore because of various exemptions given for SEZ, EOU .
We're seeing upward of hundreds of new families who are having to go back and redefine their exemption status," Davis said.
7 cases the application of the wild card exemption rests on the liquidation process and, thus, differs greatly from Ch.
Ohio's B2B exemption is broad and all-encompassing.
Natural Resources Wales staff will also be on the stand every day from today until Thursday, between 10am and 2pm, to assist farmers with re-registering their farm waste exemptions.
Complex exemptions under the old system will be more difficult to transfer across because they may not be considered low risk enough to qualify for an exemption.