Station 4: Progressive, Regressive, and Proportional Taxes

Sales taxes are

• progressive

• proportional

• regressive

When the tax rate increases as income increases, the tax is called

• progressive

• situational

• proportional

• regressive

When the tax rate decreases as income increases, the tax is called

• proportional

• progressive

• regressive

• retrogressive

When people pay the same percentage regardless of income it is

• a progressive tax

• a proportional tax

• a regressive tax

Dave makes $25,000 per year and pays 10% in taxes.

Charlotte makes $75,000 per year and pays 15% in taxes.

Lou makes $400,000 per year and pays 25% in taxes.

This is best described as a

• proportional tax

• regressive tax

• progressive tax