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excess-profits tax

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Definition of excess-profits tax

: a tax imposed especially during war on business profits that are in excess of the average profits over a specified base period, of a specified rate of return on invested capital, or of a specified rate of return on certain military contracts

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“Excess-profits tax.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/excess-profits%20tax. Accessed 22 Oct. 2021.

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