Examlex
Briefly explain the term limited liability.
Marginal Tax Rate
The marginal tax rate is the percentage of tax applied to your income for each tax bracket in which you qualify, essentially the rate paid on the last dollar of your income.
Average Tax Rate
The percentage of total income that is paid in taxes, calculated by dividing the total amount of taxes paid by the total income.
Regressive
A term usually used to describe a tax system in which the tax rate decreases as the taxable amount increases, effectively placing a higher burden on lower-income earners.
Indirect
Pertains to actions, effects, or financial transactions that are not direct or straightforward, often referring to indirect taxes or costs.
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