tax lossnoun [ C ]
ukusACCOUNTING, TAX a situation in which a company or investment loses money in a particular period, so there is no tax to pay on it, and in some cases tax paid on profits in previous periods can be got back:
If you make an investment that creates a tax loss, you can then use this loss to reclaim income tax paid previously.
GOVERNMENT, TAX a situation where the government collects less tax than it would have normally collected in a particular period:
The fraud resulted in a tax loss to the public purse in excess of £400,000.