Examples of loophole in a Sentence
She took advantage of a loophole in the tax law.
His attorney has been hunting for a loophole that would allow him to get out of the deal.
tried to close a loophole in the new legislation
Recent Examples of loophole from the Web
And scammers are getting smarter, finding loopholes in the site's system.
In an essay for The New York Review of Books, Michael Greenberg breaks down four aspects of the city’s current housing crisis: homelessness, rent stabilization loopholes, Mayor de Blasio’s housing plan, and alternatives for reform.
At least this exchange (somewhat) closes a plot loophole from Season 1.
But lax enforcement and a loophole that allows people keep bears as pets led to a boom in bile farming.
The groups, Grove Watch and the South Grove Neighborhood Association, uncovered erroneous approvals by city officials stratagems by developers to exploit regulatory loopholes.
After intense lobbying by the travel industry, on July 9th the Ministry of Justice (MoJ) announced plans to close this loophole.
But the freeze has a crucial loophole that allows pay increases for employees promoted into existing job classifications.
According to regulators, the increase is caused by contractors that abuse AOB clauses and exploit legal loopholes.
These example sentences are selected automatically from various online news sources to reflect current usage of the word 'loophole.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.
First Known Use of loophole
Financial Definition of LOOPHOLE
What It Is
A loophole is an exception that allows a system to be circumvented or avoided. It usually refers to legal, taxation, or security strategies that are exploited for personal gain.
How It Works
Loopholes are failures of a system to account for all conditions, variables, or exceptions. To illustrate a legal loophole, consider a local development law that requires even an unoccupied building to pay real estate taxes so long as it receives a certificate of completion. In order to avoid paying taxes, a builder may exploit this loophole and choose not to "complete" the building.
An example of a tax loophole is the tax break for small businesses who invest in "heavy vehicles". The tax break applies if the vehicle is used at least 50% of the time for the business. Business owners may exploit this loophole by upgrading their own vehicles to SUVs, which are considered "heavy" under the tax law, and thereby gain a personal financial advantage.
In most instances, loopholes that lead to excessive abuse are corrected by subsequent regulations and laws.
Why It Matters
While loopholes may save money or allow a purchase that would otherwise not be economical, the use of loopholes is considered questionable. Exploiting loopholes may lead to intensive scrutiny and audits, or even just a feeling of bad faith. For example, a tax payer should be aware when a tax consultant advises of specific tax advantage of whether the advantage is claimed on the basis of an allowable deduction or a loophole.
LOOPHOLE Defined for English Language Learners
Definition of loophole for English Language Learners
: an error in the way a law, rule, or contract is written that makes it possible for some people to legally avoid obeying it
LOOPHOLE Defined for Kids
Definition of loophole for Students
- a loophole in the law
Seen and Heard
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