What is the primary purpose of a progressive tax system?

A. To tax everyone at the same rate
B. To tax lower incomes at a higher rate
C. To reduce inequality by taxing higher incomes at higher rates
D. To encourage consumption



Answer :

Final answer:

A progressive tax system aims to reduce inequality by taxing higher incomes at higher rates.


Explanation:

The primary purpose of a progressive tax system is to reduce inequality by taxing higher incomes at higher rates. This system aims to shift the tax burden towards those who are more financially capable of shouldering it, thus promoting tax equity.


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