Regressive Vs Proportional Vs Progressive Taxes 7

A Look at Progressive & Regressive Taxation A progressive tax system imposes a higher percentage rate of taxation on higher income earners, which means that as a person’s income grows, so does the rate at which it is taxed. This model aims to reduce income inequality by ensuring that those with greater financial resources contribute more to the society they benefit from. On the other hand, a proportional tax, often referred to as a flat…