The federal personal income tax system is regressive.

Question

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The federal personal income tax system is generally considered progressive, meaning that those with higher incomes pay a higher percentage of their income in taxes. This is achieved through a system of marginal tax rates, where the tax rate increases as income increases. However, some argue that certain tax loopholes and deductions disproportionately benefit the wealthy, making the system less progressive overall.

The Federal Personal Income Tax System Is Regressive