exempt vs nontaxable

exempt and nontaxable both are adjectives.

Word	Noun	Adjective	Verb	Adverb
exempt	No	Yes	Yes	No
nontaxable	No	Yes	No	No

As adjectives, exempt and nontaxable are synonyms defined as:

exempt (adjective)	nontaxable (adjective)
(of persons) freed from or not subject to an obligation or liability (as e.g. taxes) to which others or other things are subject	(of goods or funds) not subject to taxation
(of goods or funds) not subject to taxation

exempt (verb)	nontaxable (verb)
grant exemption or release to
grant relief or an exemption from a rule or requirement to