Canadas progressive tax system for personal income taxes ______________________.

1. is the percentage rate of tax you pay on your next dollar of net income.

2. imposes a higher percentage rate on taxpayers who have higher incomes. This is achieved by creating tax brackets.

3. is the average amount of tax you pay as a percentage of your total taxable income. To determine this rate, you would divide your tax payable by your taxable income

4. is a flat income tax rate that is the same percentage on all sources of income.

5. imposes the same rate on all taxpayers, regardless of the ability to pay.