verb to subtract or take away from a total
In finance, the word 'deduct' is used to refer to subtracting expenses or losses from income to calculate net profit or taxable income.
In legal contexts, 'deduct' can be used to describe the process of subtracting or reducing damages or liabilities in a legal case.
In insurance, 'deduct' is used to refer to the amount of money that an insured person must pay before the insurance company will start to pay for a claim.
In accounting, 'deduct' is used to indicate the removal of an amount from a total, such as deducting expenses from revenue to calculate profit.
In taxation, 'deduct' is used to describe the process of subtracting allowable expenses from taxable income to determine the amount of tax owed.
Writers often deduct expenses related to their work, such as research materials, office supplies, and travel costs, from their taxable income.
Psychologists may deduct expenses for continuing education, professional development, and office rent from their taxes.
Accountants help clients deduct eligible business expenses to reduce their tax liability.
Real estate agents can deduct expenses like advertising costs, property maintenance, and mileage when filing their taxes.
Freelancers can deduct expenses related to their freelance work, such as equipment purchases, software subscriptions, and home office expenses.