> flat tax benefits higher income brackets progressively due to decline in marginal value.[8] > taxes other than the income tax (for example, taxes on sales and payrolls) tend to be regressive. under such a structure, those with lower incomes tend to pay a higher proportion of their income in total taxes than the affluent do. the fraction of household income that is a return to capital (dividends, interest, royalties, profits of unincorporated businesses) is positively correlated with total household income.[citation needed] hence a flat tax limited to wages would seem to leave the wealthy better off.
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