1. not subject to taxation; exempt from taxes
Usage: finance; legal

Examples

• Municipal bonds are often nontaxable at the federal level.
• The scholarship money was considered nontaxable income.
• Gifts under $15,000 are nontaxable for the recipient.
• Her nontaxable benefits included health insurance and parking.
• The charity’s nontaxable status allows it to avoid income tax.
• Interest from certain government securities is nontaxable.
• The court ruled that the settlement was nontaxable compensation.