What does setoff mean?
A deduction or allowance made from a debt or claim, or a reduction in the amount of something, such as a tax or a fine. A set-off is a legal or financial offset.
Example
"The company claimed a set-off against the tax owed, reducing their liability by thousands of dollars."
Reviewed by Deb Chak, Editor. AI-assisted content curated by RJS Tech Solutions LLP.