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net exempt income

Defined in 1 dictionary — U.S. Code

United States Code

26 U.S.C. § 833 — in this section (6 versions over time)

The term “net exempt income” means—

(i) any tax-exempt interest received or accrued during the taxable year, reduced by any amount (not otherwise deductible) which would have been allowable as a deduction for the taxable year if such interest were not tax-exempt, and

(ii) the aggregate amount allowed as a deduction for the taxable year under sections 243 and 245.