MANAGEMENT

Detailed explanation-1: -With a proportional or flat tax, each individual or household pays a fixed rate. For example, low-income taxpayers would pay 10 percent, middle-income taxpayers would pay 10 percent, and high-income taxpayers would pay 10 percent.

Detailed explanation-2: -Regressive taxation is a type of taxation by the government in which a larger percentage of the income is taxed from the low income groups than the higher income groups. In regressive taxation, the taxes are uniform irrespective of the income of the tax payers. i.e the same taxes apply to all income groups.

Detailed explanation-3: -What is Regressive Tax. Definition: Under this system of taxation, the tax rate diminishes as the taxable amount increases. In other words, there is an inverse relationship between the tax rate and taxable income. The rate of taxation decreases as the income of taxpayers increases.

Detailed explanation-4: -A progressive tax is characterized by a more than proportional rise in the tax liability relative to the increase in income, and a regressive tax is characterized by a less than proportional rise in the relative burden.