The idea that taxpayers with the same ability to pay a tax should pay the same taxes is called

Question

Quizplus · Accepted Answer

Horizontal equity is the principle that taxpayers with similar income and ability to pay a tax should pay the same amount in taxes. This principle is different from progressive and regressive taxation, which take into account differences in income and ability to pay. Vertical equity, on the other hand, argues that taxpayers with more income and ability to pay should pay a higher proportion of their income in taxes. The fair-incidence principle is another term for horizontal equity. Therefore, the answer is C).

The Idea That Taxpayers with the Same Ability to Pay