An amount of an individual's earnings that is exempt from income taxes is called a(n)

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An amount of an individual's earnings that is exempt from income taxes is called a withholding allowance. This is an amount that the individual claims on their W-4 form, which reduces the amount of income that is subject to income tax withholding. Bonus, employee deduction, salary, and premium are all income items that may be subject to income tax withholding.

An Amount of an Individual's Earnings That Is Exempt from Income