Not subject to taxation, as the capital or income of a philanthropic organization. (adjective)
Producing interest that is exempt from income tax: tax-exempt bonds. (adjective)
A tax-exempt security. (noun)
American Heritage(R) Dictionary of the English Language, Fifth Edition. Copyright (c) 2011 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.
Use "tax-exempt" in a sentence
"The average long-term tax-exempt fund is down 4.4% since Nov. 1, according to Morningstar Inc., and no fund in the category has avoided losses."
"They are classified as tax-exempt nonprofit organizations, known as 501c organizations under the tax code."
"Like other issuers of so-called tax-exempt conduit bonds, such as the Dormitory Authority of the State of New York, PFA can sell municipal bonds on behalf of a nonprofit group or company if the underlying project is expected to spur economic development."