withholding tax

noun

Synonyms of withholding taxnext
: a deduction (as from wages, fees, or dividends) levied at a source of income as advance payment on income tax

Examples of withholding tax in a Sentence

Recent Examples on the Web
Examples are automatically compiled from online sources to show current usage. Read More Opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback.
Once Vasquez applies for funding, Hataway’s department will determine the state’s contribution based on the amount of withholding tax, sales tax and athlete and entertainer tax revenues generated by the team last year, a Kehoe spokesperson previously told The Star. Kacen Bayless, Kansas City Star, 16 Apr. 2026 The incentives include sales and use tax refunds, qualifying investment tax credits and withholding tax credits. Max Rego, The Hill, 12 Feb. 2026 In May, President Donald Trump's administration ended the pandemic-era pause on student loan payments, beginning to collect on defaulted debt through withholding tax refunds and other federal payments to borrowers. Marley Malenfant, Austin American Statesman, 7 Jan. 2026 In May, the Trump administration ended the pandemic-era pause on student loan payments, beginning to collect on defaulted debt by withholding tax refunds and other federal payments to borrowers. Annie Ma, Los Angeles Times, 5 Jan. 2026 See All Example Sentences for withholding tax

Word History

First Known Use

1940, in the meaning defined above

Time Traveler
The first known use of withholding tax was in 1940

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Cite this Entry

“Withholding tax.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/withholding%20tax. Accessed 29 Apr. 2026.

Kids Definition

withholding tax

noun
: a deduction (as from one's wages) taken at a source of income (as one's employer) as an advance payment of income tax

Legal Definition

withholding tax

noun
with·​hold·​ing tax
: a deduction (as from wages, fees, or dividends) levied at a source of income as advance payment on income tax

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