A progressive tax is one in A) which the average rate increases as income increases. B) more taxes are paid as income increases. c) the average rate decreases as income increases. d) the average rate is constant as income increases.

Question

Business

Trent Porter

13 December, 00:19

A progressive tax is one in A) which the average rate increases as income increases. B) more taxes are paid as income increases. c) the average rate decreases as income increases. d) the average rate is constant as income increases.

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Answers (2)

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Rabbit · Answer 1

A) which the average rate increases as income increases.

Explanation:

A progressive tax is a tax that increases in tax rate as the taxable amount increases. The tax is termed "progressive" because it refers to the increment or progression of the tax rate from low to high, which by implication means that a taxpayer's average tax rate is less than the person's marginal tax rate.

Another term that describes the progressive nature of income taxes particularly in developed economies like the United states and United Kingdom, is the acronym P. A. Y. E which means Pay As You Earn. Ta payers are expected to pay higher tax rates for higher income brackets

Nathalia Moon · Answer 2

-a. Which the average rate increases ...