1. taxed at a rate that is too low or insufficient
Usage: economics; politics

Examples

• Many economists argue that wealthy individuals are undertaxed compared to middle-class families.
• The corporation was undertaxed for years due to various loopholes.
• Some politicians believe that luxury goods remain undertaxed.
• The report suggested that certain industries were undertaxed relative to their environmental impact.
• Critics claim that multinational companies are undertaxed in many countries.
• The study found that high earners were undertaxed compared to historical rates.