Exempt Property
Certain types of property are commonly granted exemption from property or transaction (such as sales or value added) taxes. These exemptions vary highly from jurisdiction to jurisdiction, and definitions of what property qualifies for exemption can be voluminous.
Among the more commonly granted exemptions are:
- Property used in manufacture of other goods (which goods may ultimately be taxable)
- Property used by a tax exempt or other parties for a charitable or other not for profit purpose
- Property considered a necessity of life, often exempted from sales taxes in the United States
- Personal residence of the taxpayer, often subject to specific monetary limitations
Read more about this topic: Tax Exemption
Famous quotes containing the words exempt and/or property:
“Theoretically, I grant you, there is no possibility of error in necessary reasoning. But to speak thus “theoretically,” is to use language in a Pickwickian sense. In practice, and in fact, mathematics is not exempt from that liability to error that affects everything that man does.”
—Charles Sanders Peirce (1839–1914)
“General education is the best preventive of the evils now most dreaded. In the civilized countries of the world, the question is how to distribute most generally and equally the property of the world. As a rule, where education is most general the distribution of property is most general.... As knowledge spreads, wealth spreads. To diffuse knowledge is to diffuse wealth. To give all an equal chance to acquire knowledge is the best and surest way to give all an equal chance to acquire property.”
—Rutherford Birchard Hayes (1822–1893)