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flat tax |
Also found in: Wikipedia | 0.04 sec. |
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Flat Tax A system that taxes everyone at the same rate, regardless of their income bracket. Notes: Supporters of a flat tax argue that it gives people incentive to earn more, because they wouldn't be penalized by graduating to a higher tax bracket (as they would in a progressive-rate system).Flat tax A tax which is levied at the same rate on all levels of income. Antithesis of progressive tax.
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| The AICPA is striving to provide policymakers and interested individuals with a clear understanding of the issues and alternatives involved in federal tax reform, and to foster informed discussion by providing unbiased information and analysis by updating its 1995 study, Flat Taxes and Consumption Taxes: A Guide to the Debate. Among the alternatives considered are flat taxes and sales taxes. Estonia, Latvia, Russia, and Ukraine have flat taxes, and Slovakia is studying one. |
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