Regressive Tax
/rəˈɡrɛsɪv tæks/
Definitions
- (n.) A tax that imposes a heavier burden, relative to income, on lower-income individuals than on higher-income individuals.
Regressive taxes often lead to greater inequality because they reduce disposable income more for the poor than the rich.
Forms
- regressive taxes
Related terms
See also
Commentary
The term is often used in policy debates contrasting tax fairness; regressive taxes reduce as a percentage of income as income increases.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.