Consider the Following Tax Rate Structure

question 105

Essay

Consider the following tax rate structure.Is it horizontally equitable? Why or why not? Is it vertically equitable? Why or why not?
$$\begin{array} { | l | r | r | } \hline{ \text { Taxpayer } } & { \text { Salary } } & { \text { Total Tax } } \\\hline \text { Moe } & 20,000 & 1,500 \\\hline \text { Larty } & 40,000 & 8,500 \\\hline \text { Curly } & 100,000 & 25,500 \\\hline\end{array}$$