DEFICIENCY

deficiency,n.1. A lack, shortage, or insufficiency. 2. A shortfall in paying taxes; the amount by

which the tax properly due exceeds the sum of the amount of tax shown on a taxpayer’s return. —

Also  termed  tax  deficiency;  income-tax  deficiency;  deficiency  in  tax.  3.  The  amount  still  owed

when the property secured by a mortgage is sold at a foreclosure sale for less than the outstanding

debt; esp., the shortfall between the proceeds from a foreclosure sale and an amount consisting of

the  principal  debt  plus  interest  plus  the  foreclosure  costs.  See  deficiency  judgment  under

JUDGMENT.  [Cases:  Mortgages    375,  555–562.  C.J.S.  Mortgages  §§  387,  391,  416–417,

674–676, 931–946, 948–959.] [Blacks Law 8th]