Tax Deduction

A Tax Deduction is a reduction in income tax obligation from a taxpayer's personal gross income.

• • …
• Counter-Example(s):
  • a Qualified Deduction, such as a pre-tax deduction.
  • a Tax Credit.
  • a Tax Exemption.
• See: Tax Abatement, Taxpayer.

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References

2017

• (Wikipedia, 2017) ⇒ https://en.wikipedia.org/wiki/tax_deduction Retrieved:2017-9-28.
  • Tax deduction is a reduction of income that is able to be taxed and is commonly a result of expenses, particularly those incurred to produce additional income. The difference between deductions, exemptions and credit is that deductions and exemptions both reduce taxable income, while credits reduce tax.

2016

• (Investopedia, 2016) ⇒ http://www.investopedia.com/terms/t/tax-deduction.asp
  • QUOTE: A tax deduction is a reduction in tax obligation from a taxpayer's gross income. Tax deductions can be the result of a variety of events that the taxpayer experiences over the course of the year. Tax deductions are removed from taxable income, also known as the adjusted gross income, and thus lowers the taxpayer's overall tax liability.

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