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ICSE Class X Economics 2022 Papers

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Question : 24 of 33
Marks: +1, -0
Explain the term proportional tax.
Solution:  
Proportional tax means when the rate of taxation remains the same as the income of the taxpayer increases or decreases. In this tax system, all incomes are taxed at a single uniform tax rate irrespective of whether the taxpayer's income is high or low.
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