Question

Is the personal income tax in the United States progressive, regressive, or proprotional? How do you...

Is the personal income tax in the United States progressive, regressive, or proprotional? How do you know? Why do you think the tax was designed this way?

Homework Answers

Answer #1

income tax rate in the US is progressive, progressive tax rate in those rate which increases as the income of the individual increases. In the US the tax slab is designed in a way that the tax to be paid by a person increases from 10% to 37% with people with lowest income paying a tax of 10% and with a highest income paying a tax of 37%.

The tax was designed this way so that the person with a lower income will pay a low taxes and a Person with a higher income will pay a higher tax. As poor people can only pay less and if the rich are paying more they will not be affected.

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