Progressive tax can be best explained below:
Progressive tax: This is a form of tax in which the rate increases as the income, Stick of wealth, or value if property to be taxed increases. In other words, the tax is so graduated that it's rate rises according to the level of income or wealth of the tax payer. Those with a higher income pay a higher income pay a high proportion or percentage of their income or the value if their assets as tax than those with a lower income. The tax burden increases with rising income levels or as the amount if wealth possessed increases. For example if a company earns $1000 per month and then they decides to be paying 10% out their income as tax while another comapany or firm earns $800 per month or a month and decides to be paying 2% as tax, this is said to be an absolute progressive tax.
Progressive is just simply a taxation that is usually adopted with taxation of personal Incomes..
A situation where by a company organization or firm decides to pay more percentage of income for tax than another company or firm with close substitute , then it's identify as progressive tax.
Progressive tax: This is a form of tax in which the rate increases as the income, Stick of wealth, or value if property to be taxed increases. In other words, the tax is so graduated that it's rate rises according to the level of income or wealth of the tax payer. Those with a higher income pay a higher income pay a high proportion or percentage of their income or the value if their assets as tax than those with a lower income. The tax burden increases with rising income levels or as the amount if wealth possessed increases. For example if a company earns $1000 per month and then they decides to be paying 10% out their income as tax while another comapany or firm earns $800 per month or a month and decides to be paying 2% as tax, this is said to be an absolute progressive tax.
Progressive is just simply a taxation that is usually adopted with taxation of personal Incomes..
A situation where by a company organization or firm decides to pay more percentage of income for tax than another company or firm with close substitute , then it's identify as progressive tax.
