State sales taxes are considered to be regressive because low-income households spend a larger share of their incomes on taxable goods and services.

Question

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State sales taxes are considered regressive because they take a larger percentage of income from low-income earners than from high-income earners, as low-income households tend to spend a greater proportion of their income on goods and services subject to sales tax.

State Sales Taxes Are Considered to Be Regressive Because Low-Income