Title: Regressive Tax Definition
Headings: Regressive Tax
Regressive Tax
What Is a Regressive Tax?
Regressive Tax
Key Takeaways
Understanding Regressive Taxes
Sales Taxes
User Fees
Property Taxes
Flat Taxes
"Sin" Taxes

Content: Generally, it is thought that lower-income earners live in less expensive homes, thus partially indexing property taxes to income. Flat Taxes
Often tossed around in debates about income tax, the phrase " flat tax " refers to a taxation system in which the government taxes all income at the same percentage regardless of earnings. Under a flat tax, there are no special deductions or credits. Rather, each person pays a set percentage on all income, making it a regressive tax. As a result, lower-income people pay effectively the same rate as higher-income earners instead of lower ones. "Sin" Taxes
Taxes levied on products that are deemed to be harmful to society are called sin taxes. These are added to the prices of goods like alcohol and tobacco in order to dissuade people from using them. The Internal Revenue Service (IRS) considers these taxes to be regressive, because, once again, they are more burdensome to low-income earners rather than their high-income counterparts.