BharatNotes Progressive Tax
noun (countable)Usage in a UPSC answer
India's new personal income tax regime, rationalised in Union Budget 2025-26 with a zero-tax threshold raised to Rs. 12 lakh, retains the principle of progressivity while broadening the slab structure to reduce the complexity that drove many taxpayers to the exemption-laden old regime.
Synonyms
Antonyms
Word Family
progressivity (noun), progressive (adjective), progressiveness (noun), regressive (antonymous adjective)
Root
Latin progressus = forward movement, from progredi = to advance (pro- = forward + gradi = to step); taxare = to estimate, assess
Etymology
The philosophical underpinning — that the marginal utility of money declines with wealth, so the rich can bear a higher proportionate burden — was articulated by John Stuart Mill and later by progressive-era economists. The graduated income tax was introduced in the United Kingdom in 1909 ('People's Budget' by Lloyd George) and became a standard post-war instrument. India adopted a progressive income tax structure from the Income Tax Act, 1961.
Memory Hook
PROGRESSIVE tax: as your income PROGRESSES (moves forward, grows), your tax rate also progresses upward. A staircase climbing higher with each income step — the richer the taxpayer, the steeper the stair they climb.
Tip: press Alt+S to hear pronunciation
