If you pay a $2,000 tax on $10,000 of taxable income and a $4,000 tax on a taxable income of $16,000, the tax is progressive.

Name: If you pay a $2,000 tax on $10,000 of taxable income and a $4,000 tax on a taxable income of $16,000, the tax is progressive.
Brand: Quizplus
Rating: 4.8 (53 reviews)

Question

Quizplus · Accepted Answer

The tax is progressive because the amount of tax paid increases at a higher rate than the increase in taxable income, indicating a higher percentage of tax is applied as income increases.

If You Pay a $2,000 Tax on $10,000 of Taxable