MANAGEMENT

Detailed explanation-1: -The progressive tax system increases the tax rate as taxable income increases. The overall effect is that higher-income taxpayers typically pay a higher rate of income tax than lower-income taxpayers.

Detailed explanation-2: -Brackets are adjusted each year for inflation. There are seven tax brackets for most ordinary income for the 2023 tax year: 10 percent, 12 percent, 22 percent, 24 percent, 32 percent, 35 percent and 37 percent.

Detailed explanation-3: -Under a progressive income tax the average income tax rate rises with income.

Detailed explanation-4: -Federal income tax for business is more daunting because even though it does allow business deductions only, it does not provide for standard deductions as well as dependency and personal exemptions hence the tax terms are not well defined.

Detailed explanation-5: -The permanent recession and losses of jobs caused by the high taxes cause a drop in government revenue, as economic production drops. If government then raises tax rates to recoup the lost revenue, production drops again, and the revenue drops even more.