Economics 101: Progressive Tax | SterlingTerrell.net

Economics 101: Progressive Tax

What is a progressive tax?

A Progressive Tax is a tax that's rate increases as one's income increases.

For example:

Earnings from zero to 50,000 are taxed at (say) 15%.
Earnings from 50,000 to 100,000 are taxed at 20%.
And earnings from 100,000 and above are taxed at 25%.

Although it penalizes success, a progressive tax is rational to most.

This is the opposite of a regressive tax.