The current U.S. income tax system requires taxpayers to pay a higher marginal tax rate on higher levels of taxable income. Suppose that the tax rate is 10% on the first $15,000 of taxable income, 15% on the next $45,000 of taxable income, 30% on the next $60,000 of taxable income, and 35% on taxable income above $120,000. This income tax system is:

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A progressive tax system is one in which the tax burden increases as income increases. In this tax system, the tax rate increases as taxable income increases, resulting in a higher tax burden for higher-income individuals. Therefore, the current U.S. income tax system is progressive.

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