regressive tax

Cultural  

1. A tax that takes a higher percentage of low incomes than high ones. Sales taxes, especially on food, clothing, medicine, and other basic necessities are widely cited as examples of regressive taxes. (Compare progressive tax.)

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Example Sentences

Meanwhile, at the national level in 1913, Democratic reformers in Congress slashed the country’s high tariffs, long a regressive tax on working-class consumers, replacing them with a progressive income tax whose top rate was then 7% on incomes over $500,000.

From Salon

With the thousands of citations issued each year, however, Rice said he feels the $100 fine is similar to a “regressive tax on their user base.”

From Los Angeles Times

As far as economics is concerned, he has made cutting inflation, which stands at 287% annually, his clear priority, arguing that "the most regressive tax that most afflicts people is inflation".

From BBC

It’s also our most regressive tax, meaning it burdens lower-income Californians the most — costing the lowest-earning 20%, with household incomes of $25,200 or less, an average 7.6% of family income.

From Los Angeles Times

Pedersen has suggested instituting a capital-gains tax to replace the regressive tax on drinking water.

From Seattle Times