Tax Law Terminology

verb to free or release from something, such as a duty or obligation

adjective not subject to a particular rule or requirement

• Certain individuals are exempt from paying taxes based on their income level.
• If you're a student, you might be exempt from taking certain exams.
• I wish I was exempt from doing chores this weekend.
• His wealth exempted him from the struggles that most people face.

noun an amount of money that a taxpayer is able to subtract from the amount of income that is taxable

• The company applied for an exemption from the new tax regulations.
• They were granted an exemption from jury duty because of their medical condition.
• I wish I could get an exemption from doing my homework tonight.
• She believed she was above the rules and acted as if she had an exemption from consequences.

noun a word that refers to a person, place, thing, event, substance, or quality

verb a word that expresses an action, occurrence, or state of being

preposition a word that shows the relationship between a noun (or pronoun) and other words in a sentence

article a word that is used with a noun to specify grammatical definiteness of the noun

• In legal cases involving fraud or misconduct, the court may pierce the corporate veil to hold individuals accountable for the actions of the company.
• When things get messy in a lawsuit, they might try to pierce the corporate veil to see who's really responsible.
• If the company is trying to hide something, the court might decide to lift the corporate veil and expose the truth.
• Sometimes we need to pierce the corporate veil of a situation to uncover the underlying motivations and interests at play.