income tax

noun

: a tax on the net income of an individual or a business

Examples of income tax in a Sentence

Federal income tax will be deducted from your pay. The new law will lower income taxes for most taxpayers.
Recent Examples on the Web Recently, Montgomery County Executive Marc Elrich (D) spoke in favor of a bill that would raise the income tax rate for high-income earners. Nicole Asbury, Washington Post, 2 Mar. 2024 Early tax filers saw average federal income tax refunds of $3,207 based on Internal Revenue Service data through Feb. 16. Susan Tompor, Detroit Free Press, 29 Feb. 2024 Danish companies appreciate human and social capital—and contribute to it Denmark’s top income tax rate remains one of the world’s highest at 56%. Peter Vanham, Fortune Europe, 27 Feb. 2024 The state encouraged Israelis to move in, offering housing subsidies, lower income tax, and state grants for businesses. Shane Bauer, The New Yorker, 26 Feb. 2024 Hyatt decamped to Nevada, which does not levy income tax. K. Lloyd Billingsley, Orange County Register, 25 Feb. 2024 But that cost will be funded specifically by the team’s income tax collections, Brooks said. Tribune News Service, The Mercury News, 23 Feb. 2024 Under that change, a portion of unemployment income received in 2020 was exempt from federal income tax for many people. Susan Tompor, The Enquirer, 23 Feb. 2024 Thompson’s bill added language that allows the Indianapolis City-County Council to pass an income tax hike on Marion County residents to pay for downtown improvements. Brittany Carloni, The Indianapolis Star, 23 Feb. 2024

These examples are programmatically compiled from various online sources to illustrate current usage of the word 'income tax.' Any opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback about these examples.

Word History

First Known Use

1799, in the meaning defined above

Time Traveler
The first known use of income tax was in 1799

Dictionary Entries Near income tax

Cite this Entry

“Income tax.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/income%20tax. Accessed 18 Mar. 2024.

Kids Definition

income tax

noun
ˈin-(ˌ)kəm-
: a tax on the income of a person or business

Legal Definition

income tax

noun
: a tax on the net income of an individual or a business compare excise, property tax
Last Updated: - Updated example sentences
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