Tax loophole definition

Tax loophole definition : a legal way of avoiding the payment of tax , or part of a tax bill , due to a gap in tax. Meaning, pronunciation, translations and . Used often in discussions of taxes and their avoidance, loopholes provide ways for individuals and companies to remove income or assets from . The new law is designed to close most of the tax loopholes. A deliberate or accidental provision in tax law that allows an individual or corporation to be exempt from some provision. Most loopholes are deliberate and are . Technically, a tax loophole is a provision that drains money from the government.

Loopholes are often thought of as the domain of corporations and the business . In order to avoid paying taxes , a builder may exploit this loophole and choose not to complete the building. An example of a tax loophole is the . A tax loophole is an exploitation of a tax law which can reduce or eliminate the tax liabilities of the filer. The basic definition of a tax loophole is a provision in the tax code that allows taxpayers to reduce their tax liability. Lots of benign deductions . LOOPHOLE (noun) meaning , pronunciation and more by Macmillan.

Someone who has a loophole named after him. For still others, tax loopholes were only symptoms of a worse disease-a federal. Tax evasion is part of an overall definition of tax frau which is illegal . Part V concludes this Article. THE ELUSIVE MEANING OF TAx LOOPHOLE.

Few commentators explicitly try to define the term tax. The CA is generally indicated in the definitions sections of tax treaties. Thus, even if the broader definition is use it is incorrect to perceive the tax expenditure system as primarily a method of distributing hid- den benefits to very.

This following definition comes from Washington, DC, based Private Equity Growth Capital Council: Carried interest is the share of profits that a . Currently, companies with a . We should end tax breaks for corporations that. Some view this tax preference as an unfair, market-distorting loophole. Others argue that it is consistent with the tax treatment of other entrepreneurial income. An ambiguity or inadequacy in the law or a set of rules.

More example sentences. Consumer groups last night accused the . Technique allowed the tech giant to delay paying US taxes on international earnings for years, and pay a lower tax rate overseas. Synonyms for loophole at Thesaurus.

Find descriptive alternatives for loophole.