What is meant by a progressive tax?

A regressive tax?

A pro - portional tax?

Comment on the progressivity or regressivity of each of the following taxes, indicating in each case where you think the tax incidence lies:

(a) the Federal personal in - come tax

(b) a 4 percent state general sales tax

(c) a Federal excise tax on automobile tires

(d) a municipal property tax on real estate

(e) the Federal corporate income tax

(f) the portion of the payroll tax levied on employers

Question

Roman Little

Business

29 May, 00:26

What is meant by a progressive tax?

A regressive tax?

A pro - portional tax?

Comment on the progressivity or regressivity of each of the following taxes, indicating in each case where you think the tax incidence lies:

(a) the Federal personal in - come tax

(b) a 4 percent state general sales tax

(c) a Federal excise tax on automobile tires

(d) a municipal property tax on real estate

(e) the Federal corporate income tax

(f) the portion of the payroll tax levied on employers

+5

Answers (1)

Know the Answer?

Keyla Hopkins · Answer 1

Progressive tax-A tax that takes a larger percentage of income from high-income groups than from low-income groups.

Regressive tax-A tax that takes a larger percentage of income from low-income groups than from high-income groups

A proportional tax is an income tax system where the same percentage of tax is levied on all taxpayers, regardless of their income.