JAMB UTME - Economics - 2021 | Green Bridge CBT

Question 1 Report

The PAYE ( Pay As You Earn) in Nigeria is an example of ______

Flat rate Tax

Community tax

Regressive tax

Progressive tax

Answer Details

The PAYE (Pay As You Earn) in Nigeria is an example of a progressive tax. This is because the amount of tax paid is proportional to the income earned by the taxpayer. The more income earned, the higher the tax rate and the more tax paid. As a result, the tax burden falls more heavily on those with higher incomes, making it a progressive tax.






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