Definition of Tax break:
Anything that reduces the amount of total tax that an individual or business must pay. See also tax exemptions, tax deduction, tax credit.
If the government gives a tax break to a particular group of people or type of organization, it reduces the amount of tax they would otherwise have to pay or changes the tax system in a way that benefits them.
A tax break is a reduction of a taxpayer's total liability. The term also is used to refer to the favorable tax treatment of any class of persons in the United States.
How to use Tax break in a sentence?
- A credit offsets the taxpayer's liability on a dollar-for-dollar basis.
- A deduction reduces the amount of gross income that is subject to taxes.
- An exemption shields a portion of income from taxation.
Meaning of Tax break & Tax break Definition