(a) What is a regressive tax? (b) Why is the social security tax considered a regressive tax?
Question:
(a) What is a regressive tax?
(b) Why is the social security tax considered a regressive tax?
Tax Structures:
Taxes are levied in order to raise funds for the operations of government and the provision of public goods. Taxes take several forms and mix that balance means, fairness, and consequences.
Answer and Explanation: 1
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View this answerA regressive tax is one that is paid at a higher rate as a percentage for those with lower incomes than higher incomes.
The social security tax is...
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Tax Structures: Types & Concept
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Chapter 5 / Lesson 9
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Learn about tax structures and see how they work. Explore three types of tax structures, including regressive tax, progressive tax, and proportional tax structures.
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