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In Business / High School | 2014-10-27

Which of the following is true of the federal income tax structure?

A. The poor are required to pay a higher percentage of their income than the wealthy.

B. The tax structure requires payment of an equal percentage of income from all Americans.

C. Individuals pay income taxes; however, corporations and businesses do not.

D. The poor pay a much smaller percentage of their income than the wealthy.

Asked by EmileLiesch

Answer (2)

The correct answer is **D. The poor pay a much smaller percentage of their income than the wealthy.

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Answered by JPiv | 2024-06-10

The U.S. federal income tax system is progressive, meaning higher earners pay a larger percentage of their income in taxes compared to lower earners. As a result, the poor often pay a smaller percentage of their income in taxes. Thus, the correct answer is D: The poor pay a much smaller percentage of their income than the wealthy.
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Answered by Anonymous | 2024-12-26