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Questions
Give one example of progressive tax.
Give an example of progressive tax.
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Solution 1
An example of a progressive tax is income tax.
Solution 2
In India, there is no tax up to an annual income of ₹ 2,50,000, but the rate of income tax increases with an increase in income. It is 10% on incomes between ₹ 2,50,001 and 5,00,000; 20% on incomes between ₹ 5,00,001 and 10,00,000; and 30% on incomes above ₹ 10,00,000.
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