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The chart shows how two people with different incomes are taxed.

\begin{tabular}{|l|l|l|l|}
\hline
& \multicolumn{1}{|c|}{Income} & Tax rate & Taxes paid \\
\hline
Citizen A & \[tex]$35,000 & 11\% & \$[/tex]3,850 \\
\hline
Citizen B & \[tex]$72,000 & 11\% & \$[/tex]7,920 \\
\hline
\end{tabular}

According to the chart, the citizens are being taxed:

A. proportionally
B. progressively
C. regressively



Answer :

GinnyAnswer
To determine the type of taxation system based on the given data, we need to calculate the effective tax rate for each citizen and compare them. Follow these steps:

1. Determine the effective tax rate for Citizen A:
- Income of Citizen A: \[tex]$35,000 - Taxes paid by Citizen A: \$[/tex]3,850
- Effective tax rate for Citizen A = [tex]\(\frac{\text{Taxes paid}}{\text{Income}}\)[/tex]
- Effective tax rate for Citizen A = [tex]\(\frac{3850}{35000} = 0.11\)[/tex]

2. Determine the effective tax rate for Citizen B:
- Income of Citizen B: \[tex]$72,000 - Taxes paid by Citizen B: \$[/tex]7,920
- Effective tax rate for Citizen B = [tex]\(\frac{\text{Taxes paid}}{\text{Income}}\)[/tex]
- Effective tax rate for Citizen B = [tex]\(\frac{7920}{72000} = 0.11\)[/tex]

3. Compare the effective tax rates:
- Effective tax rate for Citizen A: 0.11
- Effective tax rate for Citizen B: 0.11

Since both effective tax rates are equal (0.11 for Citizen A and 0.11 for Citizen B), it indicates that both citizens are taxed at the same rate regardless of their income. This uniform tax rate for different income levels signifies a proportional taxation system.

Thus, according to the chart, the citizens are being taxed proportionally.

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