contestada

Assume a family that earns​ $20,000 pays​ $1,500 in income​ taxes, while a family that earns​ $40,000 pays​ $3,200 in income taxes. In this​ situation, the income tax system is:

Respuesta :

Answer:

progressive.

Explanation:

Data provided in the question

Family earns = $20,000

Income tax paid = $1,500

In the other case,

Family earns = $40,000

Income tax paid = $3,200

The tax rate in the first case is

= Income tax paid ÷ family earning

= $1,500 ÷ $20,000

= 7.5%

The tax rate in the second case is

= Income tax paid ÷ family earning

= $3,200 ÷ $40,000

= 8%

As we can see that with the increase in income the income tax rate is also increases that reflect the progressive taxation