regressive tax

Flat-rate income charge

A regressive tax takes a larger percentage of income from lower earners than from higher earners.

Sales taxes are regressive because everyone pays the same rate regardless of income—a poor family spending most of their earnings on taxable goods pays a higher effective rate than a wealthy one.

Contrast with progressive tax, where rates increase with income.

types

sales tax

Government percentage on purchases

flat tax · poll tax · payroll tax · sin tax · tobacco tax · user fee · license fee · property tax · consumption tax · social security tax

burden

disproportionate

Not properly scaled

cost of living · household budget · financial strain · disposable income · necessities · basic goods · fixed income · poverty line · economic hardship · squeezed

inequality

wealth gap

Economic inequality measure

classism · socioeconomic · inequity · economic divide · marginalization · redistribution · progressivity · privilege · exclusion · income disparity

policy

tax code

Laws governing taxation

tax rate · tax bracket · tax base · tax liability · taxable income · taxpayer · tax reform · legislation · government revenue · budget

criticism

unfair

Unjust or partial

discriminatory · divisive · contentious · polarizing · oppressive · elitist · debatable · controversial · unpopular · protest

Categories
Opposites
tax burden distribution

regressive taxprogressive tax

Levy increasing with income

progressive taxation · wealth tax · income tax · estate tax · inheritance tax

Family

regress, regression, digressive, regressive, retrogression, regressively, regressiveness

Familiarity
Top 500,000
Profile
Used worldwide · Timeless · Abstract · Negative · Rated G