exempt

Examples of exempt in the following topics:

• The Role of the Nonprofit

  • In many countries, nonprofits may apply for tax exempt status, so the organization itself can be exempt from income tax and other taxes.
  • In the United States, to be exempt from federal income taxes, the organization must meet the requirements set forth by the Internal Revenue Service.
  • After reviewing the application to ensure the organization meets the conditions (such as the purpose, limitations on spending, and internal safeguards for a charity), the IRS may issue an authorization letter to the nonprofit granting it tax exempt status for income tax payment, filing, and deductibility purposes.
  • The exemption does not apply to other federal taxes such as employment taxes.
  • Federal tax-exempt status does not guarantee exemption from state and local taxes, and vice versa.

• Direct Investment

  • FDI is practiced by companies in order to benefit from cheaper labor costs, tax exemptions, and other privileges in that foreign country.
  • FDI is done for many reasons including to take advantage of cheaper wages in the country, special investment privileges, such as tax exemptions, offered by the country as an incentive to gain tariff-free access to the markets of the country or the region.

• Fair Labor Standards Act

  • Several exemptions exist that relieve an employer from having to meet the statutory minimum wage, overtime, and record-keeping requirements.
  • The largest exceptions apply to the so-called "white collar" exemptions that are applicable to professional, administrative, and executive employees.
  • Still, an employer cannot simply exempt workers from the FLSA by calling them independent contractors, and many employers have illegally misclassified their workers as independent contractors.
  • Presuming an employee is not exempt from overtime, there are many instances in which overtime is not paid properly, including when an employee is not paid for travel time between job sites, activities before their shift starts or after it ends, and activities to prepare for work that are central to work activities.

• Fair Labor Standards Act

  • In many companies, you'll find exempt and nonexempt workers.
  • Employees whose jobs are governed by the FLSA are either "exempt" or "nonexempt. " Nonexempt employees are entitled to overtime pay.
  • Exempt employees are not.

• Taxes and the Three Estates

  • In practice, this meant mostly the peasants because many bourgeois obtained exemptions.
  • Although exempted from the taille, the church was required to pay the crown a tax called the "free gift," which it collected from its office holders, at roughly 1/20 the price of the office.
  • This was a step toward equality before the law and toward sound public finance, but so many concessions and exemptions were won by nobles and bourgeois that the reform lost much of its value.
  • With all the exemptions and reductions won by the privileged classes, however, the burden of the new tax once again fell on the poorest.
  • The tax system in pre-revolutionary France largely exempted the nobles and the clergy from taxes.

• Answers to Chapter 9 Questions

  • Thus, investors increase their demand for the tax-exempt bonds and decrease their demand for the taxed ones.
  • Consequently, bond prices increase for the tax-exempt bonds but decrease for the taxed bonds.
  • Moreover, the interest rates are lower for the tax-exempt bonds and higher for the taxed bonds.

• The Rise of the Nobility

  • Only the commoners paid direct taxes and that meant the peasants because many bourgeois obtained exemptions.
  • This was a step toward equality before the law and toward sound public finance, but so many concessions and exemptions were won by nobles and bourgeois that the reform lost much of its value.
  • This breach in the privileged status of the aristocracy and the clergy, normally exempt from taxes, was another attempt to impose taxes on the privileged but the new tax was received with violent protest from the privileged classes sitting in the estates of the few provinces that still retained the right to decide over taxation (most provinces had long lost their provincial estates and the right to decide over taxation).
  • Pressed and eventually won over by his entourage at court, the king gave in and exempted the clergy from the twentieth in 1751.
  • Eventually, the twentieth became a mere increase in the already existing taille, the most important direct tax of the monarchy from which privileged classes were exempted.

• Tax Rate

  • Some proponents of this system propose to exempt a fixed amount of earnings (such as the first $10,000) from the flat tax.
  • It also incorporates tax breaks or exemptions.

• Becoming an International Bank

  • Furthermore, the Federal Reserve System exempts the subsidiary from some U.S. banking regulations and has the authority to approve the Edge ActCorporation.
  • Government exempts IBFs from many regulations, and they do not pay local and state taxes.

• Disadvantages of LIFO

  • On November 15, 2007, the Securities and Exchange Commission (SEC) exempted foreign firms from including reconciliation from International Financial Reporting Standards (IFRS) to U.S.