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what's the difference between a wealth tax and a progressive tax ?

• dllthomas 12y ago
  If your question is primarily definitional: A wealth tax operates on the value. A "progressive tax" typically still operates on the derivative.
  • saalweachter 12y ago
    Where the derivative is "income". In the US, property tax is a wealth tax. "Progressive" is orthogonal to "wealth"/"income". You could have a progressive wealth tax, where individuals with large amounts of wealth are taxed at a higher rate than individuals with smaller amounts of wealth. E.g., if a $10 million house was taxed at 10%, and a $100,000 house was taxed at 1%, that would be a progressive wealth tax. If all houses were taxed a flat $1000, regardless of their value, that would be a very regressive wealth tax.
    • dllthomas 12y ago
      Very true, and clearer than I was while also more informative. Thanks!