If government tax policy requires Bill to pay $20,000 in taxes on annual income of $200,000 and Paul to pay $10,000 in tax on annual income of $100,000, then the tax policy is:
A. regressive.
B. progressive.
C. proportional.
D. optional.
Answer:C
If government tax policy requires Bill to pay $20,000 in taxes on annual income of $200,000 and Paul to pay $10,000 in tax on annual income of $100,000, then the tax policy is:
A. regressive. B. progressive. C. proportional. D. optional.
Explanation: Type: Multiple Choice