Question
A flat income tax describes a situation where income is taxed at the same percentage rate along the full range of income. For example, a
"A flat income tax describes a situation where income is taxed at the same percentage rate along the full range of income. For example, a flat tax rate of 10 per cent would result in a person with $1,000 of taxable income paying $100 in tax, and a person with $50,000 of taxable income paying $5,000 in tax. No tax free thresholds would exist. Marginal and average tax rates would always be the same; the tax would be strictly proportional. This differ from the United States "progressive tax", which average tax rate rises when moving up the income scale.
After reading the definition of flat tax versus progressive tax, what would be your recommendation in this country, and why?
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