Answered

The chart shows how two people with different incomes are taxed.

| Citizen | Income | Tax Rate | Taxes Paid |
|---------|----------|----------|------------|
| Citizen A | [tex]$35,000 | 11% | $[/tex]3,850 |
| Citizen B | [tex]$72,000 | 11% | $[/tex]7,920 |

According to the chart, the citizens are being taxed ____.



Answer :

GinnyAnswer
To determine the type of taxation based on the given information, let's examine and verify the data provided:

1. Income and Tax Rate Information:
- Citizen A has an income of \[tex]$35,000 and is taxed at a rate of 11%. - Citizen B has an income of \$[/tex]72,000 and is also taxed at a rate of 11%.

2. Taxes Paid Verification:
- Citizen A paid \[tex]$3,850 in taxes. - Citizen B paid \$[/tex]7,920 in taxes.

3. Calculating Expected Taxes:
- For Citizen A:
[tex]\[ \text{Expected Taxes for Citizen A} = 35,000 \times 0.11 = 3,850 \][/tex]
We see that the expected taxes match the taxes paid for Citizen A.

- For Citizen B:
[tex]\[ \text{Expected Taxes for Citizen B} = 72,000 \times 0.11 = 7,920 \][/tex]
Similarly, the expected taxes match the taxes paid for Citizen B.

4. Consistency Check:
- Both citizens are taxed 11% of their income, and the taxes they paid match the calculated expected amounts.

Since both citizens are taxed at the same rate of 11% and the taxes paid match the calculated amounts, this indicates a flat taxation system. In a flat tax system, every taxpayer pays the same percentage of their income, regardless of the total amount of income.

Thus, according to the chart, the citizens are being taxed flatly.

Other Questions