Which of the following statements concerning income tax rate structures isĀ false?

A. Under either a regressive, proportionate, or progressive rate structure, high-income taxpayers pay more dollars of tax than low-income individuals.
B. Under a progressive rate structure, the marginal rate and the average rate are equal.
C. Under a regressive rate structure, the average rate for low-income individuals is more than the average rate for high-income individuals.
D. In theory, a progressive rate structure results in equal economic sacrifice across taxpayers.


Answer: B

Business

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