Sentence examples for deduction reducing from inspiring English sources

It said a company's earnings and profits -- which are its taxable income for alternative minimum tax purposes -- were diminished by the deduction, reducing vulnerability to the tax.

(That means, for example, that a company with $10 million in income but a $3 million payroll would see the $2 million deduction reduced to $1.5 million).

The difference is important: A tax deduction reduces your taxable earnings.

(A credit, unlike a less valuable deduction, reduces your tax bill dollar for dollar).

Whereas a tax deduction reduces your taxable income, a credit reduces the taxes you owe, dollar for dollar.

Looked at another way, a 9% profit deduction reduces the top corporate and individual tax rates on eligible income to 31.85% from 35%.

The $2.7 million deduction reduced Giannoulias' income to the point that he paid no federal income taxes last year.

A tax deduction reduces the amount of your taxable income, thereby lowering the total amount of taxes you pay, making you cash.

They did this by filing huge deductions, reducing their taxable income to almost zero.

"Higher taxpayers have their itemized deductions reduced in New York," Mr. Baxley said.

(Personal exemptions and itemized or standard deductions reduce taxable income, making it lower than adjusted gross income).