A tax system is regarded as horizontally equitable if?

4424EconomicsMedium

Ataxpayers with similar abilities to pay taxes pay the same amount

Bthe system comprises only lump sum taxes

Ctaxes on all goods are levied at the same rate

Dall taxpayers pay the same amount of tax

Etaxes are as low as possible

Correct answer

A. taxpayers with similar abilities to pay taxes pay the same amount

Explanation

The correct answer is taxpayers with similar abilities to pay taxes pay the same amount.

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