Tax Free

Business, Legal & Accounting Glossary

Definition: Tax Free


Tax Free

Quick Summary of Tax Free


Denotes to any payment, allowance, benefit, etc. , that is not subject to taxation.




What is the dictionary definition of Tax Free?

Dictionary Definition


Denotes to any payment, allowance, benefit, etc., that is not subject to taxation.

adjective with no tax having to be paid


Full Definition of Tax Free


Example tax-free goods with no tax having to be paid.

A tax-free bond or account pays no income taxes on its gains.

Typical examples include municipal bonds, Roth IRA and Roth 401(k) accounts. In contrast, IRA, 401(k), 403(b), and 457 accounts and annuities are tax-deferred. Their gains pay no Federal income taxes while in the account, but are taxed at ordinary income tax rates when paid out as distributions.


Synonyms For Tax Free


duty-free
excluding taxes
net of tax
without taxes
tariff-free


Related Phrases


Municipal bond


Cite Term


To help you cite our definitions in your bibliography, here is the proper citation layout for the three major formatting styles, with all of the relevant information filled in.

Page URL
https://payrollheaven.com/define/tax-free/
Modern Language Association (MLA):
Tax Free. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
April 18, 2024 https://payrollheaven.com/define/tax-free/.
Chicago Manual of Style (CMS):
Tax Free. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
https://payrollheaven.com/define/tax-free/ (accessed: April 18, 2024).
American Psychological Association (APA):
Tax Free. PayrollHeaven.com. Retrieved April 18, 2024
, from PayrollHeaven.com website: https://payrollheaven.com/define/tax-free/

Definition Sources


Definitions for Tax Free are sourced/syndicated and enhanced from:

  • A Dictionary of Economics (Oxford Quick Reference)
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 28th November, 2021 | 0 Views.