A report on Progressive tax, Income tax and Tax
A progressive tax is a tax in which the tax rate increases as the taxable amount increases.- Progressive tax
An income tax is a tax imposed on individuals or entities (taxpayers) in respect of the income or profits earned by them (commonly called taxable income).- Income tax
The tax rate may increase as taxable income increases (referred to as graduated or progressive tax rates).- Income tax
Some levy a flat percentage rate of taxation on personal annual income, but most scale taxes are progressive based on brackets of annual income amounts.- Tax
The term is frequently applied in reference to personal income taxes, in which people with lower income pay a lower percentage of that income in tax than do those with higher income.- Progressive tax
Most countries charge a tax on an individual's income as well as on corporate income.- Tax
2 related topics with Alpha
Flat tax0 links
A flat tax (short for flat-rate tax) is a tax with a single rate on the taxable amount, after accounting for any deductions or exemptions from the tax base.
Implementations are often progressive due to exemptions, or regressive in case of a maximum taxable amount.
A flat tax system is usually discussed in the context of an income tax, where progressivity is common, but it may also apply to taxes on consumption, property or transfers.
Taxable income0 links
Taxable income refers to the base upon which an income tax system imposes tax.
Many systems impose tax at different rates for differing types (e.g., capital gains or salaries) or levels of income (e.g., graduated rates).