If Stephen earns $100,000 a year and pays $20,000 in taxes and Chris earns $50,000 a year and pays $5,000 in taxes, the tax system is:

Question

Quizplus · Accepted Answer

The tax system is considered progressive because Stephen, who earns more than twice as much as Chris, pays more than four times as much in taxes. As income increases, the percentage of income paid in taxes also increases, which is a characteristic of a progressive tax system.

If Stephen Earns $100,000 a Year and Pays $20,000 in Taxes