Examlex
What is sectionalism? Discuss using an example.
Average Tax Rate
The ratio of the total amount of taxes paid to the total taxable income, indicating the portion of income that is paid in taxes.
Marginal Tax Rate
The tax rate that applies to the last dollar of the taxpayer's income, indicating the percentage of tax paid on any additional income earned.
Taxable Income
The portion of an individual or entity's income used as the basis to calculate how much the individual or entity owes in taxes.
Average Tax Rate
The proportion of total taxable income that individuals or corporations pay in taxes, calculated by dividing the total tax amount by the total income.
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