1.We should keep the proportional tax because it creates more equity than s prog

Question

1.We should keep the proportional tax because it creates more equity than s progressive tax and is much easier to compute

2.Making high-income and low-income taxpayers pay the same fraction of income simplifies the tax laws and thus decreases the administrative burden of taxation

3. A 10% proportional tax cuts into expenditures on necessities of poorer households more than it cuts into those of richer households.

4. To maintain an efficient tax system, taxes should be easy to compute and should not shift the tax incidence disproportionately to those with a higher or lower econimic well-being .

Explanation / Answer

1. False we should keep it because it taxes individuals fairly. 2. False , taxes are taxes so they should be proportional to one's income, and the administrative differences are negligible. 3. False, a percentage would always be proportional whether in rich or poor. 4.True, everything should remain equal as mentioned. Hope this helps, best of luck.

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