A General Sales Tax Is

Multiple Choice

A general sales tax is:

A) a progressive tax because it applies to luxuries as well as necessities
B) a progressive tax because wealthy people spend more than poor people.
C) a regressive tax because wealthy people spend a smaller percentage of their total income on taxed commodities.
D) a regressive tax because more money is collected from a poor person than from a rich one.
E) a proportional tax because everybody pays the same tax percentage on each purchase.