exempt

Exempt is an English term used as an adjective meaning free from a rule, obligation, or liability; it can also function as a verb meaning to release someone or something from an obligation.

Etymology: From Latin exemptus, past participle of eximere "to take out," from ex- "out" + emere "to take." The noun form exemption denotes the act or state of being exempt.

In law and taxation, exemption is a legal relief from duties, taxes, or requirements. Tax exemptions reduce or eliminate tax liability for individuals or organizations; governments grant exemptions to nonprofits, religious groups, or charities, and some jurisdictions provide exemptions for dependents or specific goods or activities.

In employment law, exempt describes employees who are exempt from certain labor standards, notably overtime pay under the Fair Labor Standards Act in the United States; exempt employees are typically salaried and hold executive, professional, or administrative roles.

In regulatory and other contexts, exemptions allow activities, entities, or items to be exempt from specific rules, reporting requirements, or licensing schemes; exemptions may be temporary or permanent and may depend on factors such as size, purpose, or location.