If a tax is proportional, the average tax rate
A)remains the same as income rises.
B)rises as income rises.
C)falls as income rises.
D)falls as income falls.

Name: If a tax is proportional, the average tax rate A)remains the same as income rises. B)rises as income rises. C)falls as income rises. D)falls as income falls.
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Question

Quizplus · Accepted Answer

With a proportional tax, the tax rate remains the same regardless of the level of income. Therefore, the average tax rate will also remain the same as income rises.

If a Tax Is Proportional, the Average Tax Rate