Let's examine the information given in the table:
- Company A has a total income of [tex]$50 million and a tax rate of 10%.
- Company B has a total income of $[/tex]100 million and a tax rate of 12%.
- Company C has a total income of [tex]$150 million and a tax rate of 15%.
- Company D has a total income of $[/tex]200 million and a tax rate of 20%.
To determine the type of taxation represented by this table, we need to analyze how the tax rate changes with the income:
- For Company A, with an income of [tex]$50 million, the tax rate is 10%.
- For Company B, with an income of $[/tex]100 million, the tax rate increases to 12%.
- For Company C, with an income of [tex]$150 million, the tax rate further increases to 15%.
- For Company D, with an income of $[/tex]200 million, the tax rate reaches 20%.
Given this information, it's clear that as the income increases, the tax rate also increases. Such a pattern indicates the presence of a progressive tax system.
A progressive tax system is characterized by increasing tax rates as the taxable amount (income, in this case) increases. This means that individuals or entities with higher incomes pay a higher percentage of that income in taxes.
Therefore, based on the table, the taxation type that best represents the given data is:
D. Progressive
