Economics · May / June 2018 · Paper 11 · Question 18

The table shows the amount of tax to be paid at different weekly incomes. | weekly income ($) | 100 | 150 | 200 | 250 | |---|---|---|---|---| | weekly tax ($) | 20 | 30 | 36 | 40 | Which statement describes the system of income tax as income rises over this range?

1. AIt is progressive throughout.
2. BIt is proportional then becomes progressive.
3. CIt is proportional then becomes regressive.
4. DIt is regressive throughout.

As printed in the paper