0
The purpose of a regressive tax is to generate revenue for the government while placing a heavier financial burden on lower-income individuals compared to higher-income earners. This type of tax system often taxes basic goods and services, meaning that those with less income spend a larger percentage of their earnings on these taxes. While regressive taxes can provide essential funding for public services and infrastructure, they can also exacerbate income inequality.
What else can I help you with?
Is the sales tax progressive or regressive?
regressive
Is payroll tax regressive or progressive?
Regressive
A regressive tax is BEST defined as a rate of tax?
A regressive tax is a rate of tax that falls as the income rises.
Why is a 5 percent sales tax on gasoline regressive?
This is a fixed rate (proportional) tax, not a regressive tax.
What is the principle that justifies a regressive tax?
The benefits-received principle justifies a regressive tax.
What is the advantage of regressive tax?
regressive tax encourages earning. this is such that as for the case of progressive tax whereby the more you earn, the more taxes you pay in the case of regressive tax, the more you earn the more you get to keep.
What kind of tax is the sales tax?
Regressive tax
What kind of tax is sales tax?
Regressive
Is a tax where every one pays the same percentage regressive?
regressive.
What countries practicing regressive tax?
the countries practicing regressive tax are japan, united states, china, Canada and Korea.
With this tax the tax rate decreases as the tax base increases?
Regressive
With this tax the tax rate decreases as the tax base increases.?
Regressive
