A tax cap places an upper bound on the amount of government tax a person might be required to pay. In this case the tax is said to be capped.

You can help expand this article with text translated from the corresponding article in German. (March 2021) Click [show] for important translation instructions. Machine translation, like DeepL or Google Translate, is a useful starting point for translations, but translators must revise errors as necessary and confirm that the translation is accurate, rather than simply copy-pasting machine-translated text into the English Wikipedia. Consider adding a topic to this template: there are already 9,119 articles in the main category, and specifying|topic= will aid in categorization. Do not translate text that appears unreliable or low-quality. If possible, verify the text with references provided in the foreign-language article. You must provide copyright attribution in the edit summary accompanying your translation by providing an interlanguage link to the source of your translation. A model attribution edit summary is Content in this edit is translated from the existing German Wikipedia article at [[:de:Bouclier fiscal]]; see its history for attribution. You may also add the template {{Translated|de|Bouclier fiscal}} to the talk page. For more guidance, see Wikipedia:Translation.

An example of this is the American Social Security Tax, which does not apply to wages over an annual limit.^[1]