Taxes apportioned according to taxpayers' financial capacity, such as
property, sales, and income, is the Ability-To-Pay taxation. The ability-to-
pay philosophy of taxation maintains that taxes should be levied according
to a taxpayer's ability to pay.
The idea is that people or businesses that have a higher income should
and can pay more. Ability-To-Pay states that those who have a higher
income should pay a greater percentage of those income taxes compared
with those who earn less, not because they use more government goods
and services, but because taxpayers who earn more have the ability to pay
more.
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