Meaning & use
tax subsidies
Last updated
Meanings
nounplural
Government help given by reducing the tax a person or company must pay.
Grammar: Countable noun in plural; the singular form is 'tax subsidy'.
Patterns
- tax subsidies for something
- tax subsidies on something
- receive tax subsidies
The new law offers tax subsidies to families who install solar panels.
Critics say tax subsidies for large oil companies waste public money.
Small businesses can apply for tax subsidies to cover part of their training costs.
nounplural
A system or policy that uses tax reductions to encourage certain behavior.
Grammar: Often used when discussing economic policy in general.
Patterns
- a system of tax subsidies
- tax subsidies encourage something
Tax subsidies encourage people to save for retirement.
The report examines how tax subsidies affect the housing market.
Word forms
| singular | tax subsidy |
|---|
Common combinations
- government tax subsidies
- Government tax subsidies helped the industry grow quickly.
- tax subsidies for renewable energy
- Tax subsidies for renewable energy have increased in recent years.
- receive tax subsidies
- Only companies that meet the criteria can receive tax subsidies.
- cut tax subsidies
- The budget proposes to cut tax subsidies for electric cars.
Synonyms and how they differ
- tax breaks
- More informal and often used in news headlines; 'tax subsidies' sounds more technical and policy-focused.
- tax incentives
- Similar but emphasizes the motivation to change behavior; 'tax subsidies' stresses the financial support itself.
Word family
- tax subsidy noun
- Singular form; one such reduction.
- subsidize verb
- To pay part of the cost of something, often through tax reductions.
Commonly confused: tax subsidies or tax evasion?
tax subsidies vs tax evasion
Tax evasion means illegally not paying taxes; tax subsidies are legal reductions offered by the government.
Practice
Which sentence uses 'tax subsidies' correctly?
Choose one answer.
'Tax subsidies' are given by the government to companies or individuals, so the company receives them. Option 1 reverses the direction; option 3 is correct but less natural because 'gave' is less common than 'received' in this context; option 4 is wrong because the government gives, not receives, subsidies.
Make it your own
Write a sentence using “tax subsidies”, then check it and compare it with the examples above.