Chris had a before-tax income of $20,000 and paid $3,000 in income taxes.Pat had a before-tax income of $10,000 and paid $1,000 in income taxes.Based on this information, what type of taxation is this?

Question

Quizplus · Accepted Answer

The taxation system in this case is progressive because the higher-income earner, Chris, pays a higher proportion of their income in taxes compared to the lower-income earner, Pat. This is because income tax rates typically increase as income increases.

Chris Had a Before-Tax Income of $20,000 and Paid $3,000