Question

What happens to the percentage of tax as the income that is taxed rises and the tax is a proportional one?


The percentage of tax falls.


The percentage of tax stays the same.


The percentage of tax rises.


The percentage of tax first rises and then falls.

Answer 1

In a proportional tax system, the tax rate remains constant regardless of the income level. This means that as the income being taxed rises, the percentage of tax does not change; it stays the same.

So, the correct answer is: **The percentage of tax stays the same.**