A proportional tax involves the same tax rate to all people regardless of income.
A proportional tax, also directed to as a flat tax, is a tax in which the rate of tax taken from a person's income stays the same, regardless of how much money he or she earns.
For example, low-income taxpayers would spend 10 percent, middle-income taxpayers would spend 10 percent, and high-income taxpayers would pay 10 percent. The deals tax is an example of a proportional tax because all customers, regardless of income, pay the same fixed rate.
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