Answer :
To determine the type of tax based on the income distribution, let's analyze the key concepts.
### Key Tax Concepts:
1. Proportional Tax: This tax rate is consistent across all income levels. Everyone pays the same percentage of their income, regardless of how much they earn.
2. Progressive Tax: In this system, the tax rate increases as the income increases. Higher-income individuals pay a larger percentage of their income in taxes compared to lower-income individuals.
3. Regressive Tax: Under a regressive tax system, lower-income individuals pay a larger percentage of their income in taxes compared to higher-income individuals. This means the share of income tax collected from higher incomes is smaller than that collected from lower incomes.
### Analyzing the Given Situation:
The statement describes a tax scenario where:
- The share of individual income tax collected by the government from people with higher incomes is smaller.
- The share of tax collected from people with lower incomes is larger.
Such a scenario is characteristic of a regressive tax system. This is because regressive taxes place a heavier burden on lower-income individuals compared to higher-income individuals.
### Conclusion:
Based on the definitions and analysis, when the share of individual income tax collected from higher-income individuals is smaller compared to that from lower-income individuals, the tax is regressive.
Therefore, the correct answer is:
- Regressive
### Key Tax Concepts:
1. Proportional Tax: This tax rate is consistent across all income levels. Everyone pays the same percentage of their income, regardless of how much they earn.
2. Progressive Tax: In this system, the tax rate increases as the income increases. Higher-income individuals pay a larger percentage of their income in taxes compared to lower-income individuals.
3. Regressive Tax: Under a regressive tax system, lower-income individuals pay a larger percentage of their income in taxes compared to higher-income individuals. This means the share of income tax collected from higher incomes is smaller than that collected from lower incomes.
### Analyzing the Given Situation:
The statement describes a tax scenario where:
- The share of individual income tax collected by the government from people with higher incomes is smaller.
- The share of tax collected from people with lower incomes is larger.
Such a scenario is characteristic of a regressive tax system. This is because regressive taxes place a heavier burden on lower-income individuals compared to higher-income individuals.
### Conclusion:
Based on the definitions and analysis, when the share of individual income tax collected from higher-income individuals is smaller compared to that from lower-income individuals, the tax is regressive.
Therefore, the correct answer is:
- Regressive
