section_path: Types/Descriptive labels/Proportional, progressive, regressive, and lump sum
section_name: Proportional, progressive, regressive, and lump sum
paragraph_text: Proportional, progressive, regressive, and lump sum
  
  An important feature of tax systems is the percentage of the tax burden as it relates to income or consumption. The terms progressive, regressive, and proportional are used to describe the way the rate progresses from low to high, from high to low, or proportionally. The terms describe a distribution effect, which can be applied to any type of tax system (income or consumption) that meets the definition.
  
  The terms can also be used to apply meaning to the taxation of select consumption, such as a tax on luxury goods and the exemption of basic necessities may be described as having progressive effects as it increases a tax burden on high end consumption and decreases a tax burden on low end consumption.