Suppose a poor person makes $20k a year, all of this immediately spent on necessities and taxed, say at 5%. So their net tax rate is 5%. Now imagine a rich per

Suppose a poor person makes $20k a year, all of this immediately spent on necessities and taxed, say at 5%. So their net tax rate is 5%. Now imagine a rich person making $200k, spending $100k taxed at 10% because of marginal increases, and saving the rest. The rich person also pays a net tax rate of 5%.