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Answer: I believe the answer is: progressive tax system In a progressive tax system, we impose different tax rates to the people whose earning reach a certain income bracket. With the purpose of ensuring proper amount of wealth allocation. In united states, the separation for each bracket would look like this: Taxable Income Tax Rate$0 - $9,525 10% of taxable income$9,526 - $38,700 $952.50 plus 12% of the amount over $9,525$38,701 - $82,500 $4,453.50 plus 22% of the amount over $38,700$82,501 - $157,500 $14,089.50 plus 24% of the amount over $82,500$157,501 - $200,000 $32,089.50 plus 32% of the amount over $157,500$200,001 - $500,000 $45,689.50 plus 35% of the amount over $200,000$500,001 or more $150,689.50 plus 37% of the amount over$500,000
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The United States seems to have an earned income tax credit, thanks to its progressive tax structure.
Progressive tax system;
A progressive tax system imposes increasing tax rates on higher income levels. Personal income tax rates in the United States range from 10% to 37 percent. As a result of this arrangement, higher-income people pay a bigger proportion of income taxation than lower-income people.
Earned income tax credit;
The Earned Income Tax Credit is a tax deduction for low- to reasonable working people and couples, young people and vulnerable adults, in the United States. The EITC benefit amount is determined on the recipient's income is a measure of children.
So, Option "C" is the correct answer to the following question:
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