Meaning & use

not taxable

adjective·Everyday

Last updated

UK/ˌnɒt ˈtæksəbl/
US/ˌnɑːt ˈtæksəbl/

Meaning

  1. adjectivenot comparable

    Not subject to tax; no tax has to be paid on this income, item, or amount.

    Grammar: Used after linking verbs like be, seem, remain: The gift is not taxable. It is not used before a noun; say 'tax-free income', not 'not taxable income'.

    Patterns

    • be not taxable
    • remain not taxable
    • something is not taxable

    Money you receive as a gift is usually not taxable.

    The first part of your earnings is not taxable.

    Small online sales are not taxable if you earn under the limit.

Common combinations

not taxable income
The report explains which sources count as not taxable income.
be not taxable
Scholarships are not taxable in many countries.
remain not taxable
Savings interest may remain not taxable for low earners.
not taxable for tax purposes
The allowance is not taxable for tax purposes.

Synonyms and how they differ

tax-free
More common and can go before a noun (tax-free allowance); 'not taxable' usually comes after the verb.
exempt
Stronger and more formal; it often means officially excluded by a rule, while 'not taxable' is a plain description.

Opposites

taxable

Word family

tax noun
Money paid to the government.
taxable adjective
Subject to tax; the opposite of 'not taxable'.
taxation noun
The system of charging taxes.

Commonly confused: not taxable or tax-free?

not taxable vs tax-free

'Tax-free' is used before nouns and in advertising; 'not taxable' is a factual phrase used after linking verbs.

Practice

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