noun ex·emp·tion \ig-ˈzem(p)-shən\

: freedom from being required to do something that others are required to do

: a source or amount of income that is not taxed

Full Definition of EXEMPTION

:  the act of exempting or state of being exempt :  immunity
:  one that exempts or is exempted; especially :  a source or amount of income exempted from taxation

Examples of EXEMPTION

  1. They were granted exemptions from military service.
  2. You can claim a tax exemption for each of your dependents.

First Known Use of EXEMPTION

14th century

Other Economics Terms

actuary, compound interest, globalization, indemnity, portfolio, rentier, stagflation, usurer
EXEMPTION Defined for Kids


noun ex·emp·tion \ig-ˈzemp-shən\

Definition of EXEMPTION for Kids

:  freedom from having to do something that other people are required to do


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