Progressive tax, Managerial Economics

Assignment Help:

PROGRESSIVE TAX

A progressive income tax system is one where the higher the income, the greater the proportion paid in taxes.  This is effected by dividing the taxpayers' incomes into bands (brackets) upon which different rates of tax are paid - the rates being higher and the band of income.  For example, in Kenya, the bands are as follows:

 Monthly Tax Rates

Income Bracket                             Tax

(K£ per month)                (Kshs per Kshs 20)

1 - 325                                      2

326 - 650                                   3

651 - 975                                   4

976 - 1300                                 7

1301 - 1625                                7

excess over 1625                         7.50

Examples of Progressive taxes in Kenya are Income Tax, Estate Duty, Wealth Tax and Gift Tax.


Related Discussions:- Progressive tax

Describe about theory of firm, Q. Describe about Theory of Firm? Theory...

Q. Describe about Theory of Firm? Theory of the firm is associated to comprehending how firms come into being, what are their objectives, how they act and enhance their perform

How is marginal analysis lead to profit-maximizing quantity, How is margina...

How is marginal analysis lead to profit-maximizing quantity of output? Marginal Analysis leads to Profit-Maximizing Quantity of Output: The price-taking firm’s optimal outpu

Question, what is deadweight loss calculation?

what is deadweight loss calculation?

What is decreasing marginal cost, What is decreasing marginal cost? All...

What is decreasing marginal cost? All additional lawn mowed generates less benefit than the earlier lawn à along with decreasing marginal benefit; every additional unit generat

A reduce in supply, a) A reduce in supply and an enhance in demand will cau...

a) A reduce in supply and an enhance in demand will cause the equilibrium:   b)  Which of the following is most likely to cause a reduce in the present demand for  some product X

What is a retention bonus, A Retention bonus is an incentive paid to a key ...

A Retention bonus is an incentive paid to a key employee to retain them by a critical business cycle. This could be a transitional period (like mergers and acquisitions) to ensure

Quadratic cost function, Using the CD data estimate a quadratic cost functi...

Using the CD data estimate a quadratic cost function. Test the hypothesis that there is diminishing marginal cost. Be sure to state what critical value you are using. Then, using t

Define the natural monopoly, Q. Define the Natural Monopoly? Natural M...

Q. Define the Natural Monopoly? Natural Monopoly: Natural monopoly is because of natural factors. For illustration, a particular raw material is concentrated at a specific pl

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd