That is not the definition of a regressive tax.
HockeyDad wrote:
I don't know WHAT I was thinking!
http://www.investopedia.com/terms/r/regressivetax.asp#axzz1bMH2aPgG What Does Regressive Tax Mean?
A tax that takes a larger percentage from low-income people than from high-income people. A regressive tax is generally a tax that is applied uniformly. This means that it hits lower-income individuals harder.
Investopedia Says
Investopedia explains Regressive Tax
Some examples include gas tax and cigarette tax. For example, if a person has $10 of income and must pay $1 of tax on a package of cigarettes, this represents 10% of the person's income. However, if the person has $20 of income, this $1 tax only represents 5% of that person's income.
Sales taxes that apply to essentials are generally considered to be regressive as well because expenses for food, clothing and shelter tend to make up a higher percentage of a lower income consumer's overall budget. In this case, even though the tax may be uniform (such as 7% sales tax), lower income consumers are more affected by it because they are less able to afford it.
A tax that takes a larger percentage of the income of low-income people than of high-income people.
http://www.investorwords.com/4138/regressive_tax.html#ixzz1bMHmOVS8 Taxation that takes a larger percentage of a lower-income and a smaller percentage of a higher income. For example, a tax on the basic necessities (which form a larger percentage of the expenditure of the lower income population) is a regressive tax. See also progressive tax.
http://www.businessdictionary.com/definition/regressive-tax.html tax where rate falls as income increases
http://www.qfinance.com/dictionary/regressive-tax A tax system that provides that average tax rates decrease with increases in individuals' income brackets.
http://financial-dictionary.thefreedictionary.com/Regressive+Tax