Question

calculating values related to income tax rates\
which definition best describes a progressive tax system?\

• a tax system\

where tax rates\
remain constant\
regardless of\
income\

• a tax system\

where everyone\
pays the same tax\
rate regardless of\
income\

• a tax system\

where tax rates\
increase as\
income increases\

• a tax system\

where tax rates\
decrease as\
income increases

Explanation:

A progressive tax system is structured so that higher income levels are subject to higher tax rates, meaning the tax burden rises proportionally with income. The other options describe flat (constant rate regardless of income) and regressive (rates fall as income rises) tax systems.

Answer:

a tax system where tax rates increase as income increases