A regressive tax is a type of tax that is assessed regardless of income, in which low- and high-income individuals pay the same dollar amount.
This type of tax is more of a burden on the low-income than on the high-income, for whom the same dollar amount equates to a much larger percentage of total earned income.
A regressive system is different from a progressive system in which individuals with higher incomes pay a higher percentage of income tax than those with lower incomes.
In the United States and some other developed countries, a progressive tax is applied to income, but other taxes, such as sales tax and user fees, are levied in the same way.
The Foreign Account Taxation Act (FATCA) requires US citizens to file annual returns on any foreign accounts and pay any taxes due on them in order to curb tax evasion.
Generation Skip Transfer Tax (GSTT) is a federal tax that arises when property is transferred by gift or inheritance to a beneficiary (other than spouse) who is at least 37.5 years younger than the donor.
Section 1250 of the Internal Revenue Code states that the IRS will tax income from the sale of depreciated real estate as ordinary income if accumulated depreciation exceeds straight-line depreciation.