Answer :
The tax policy in the given scenario is Progressive .
Explanation:
A progressive tax is based on low-income payers due to their ability to pay which places a lower corporate tax rate on lower-income payers relative to those with greater income. It implies that higher-income earners take a bigger share than low-income individuals.
A progressive tax is one for people who have received higher income and demand a higher tax. There is a reason for usually spending more of your income on keeping your standard of living by people with a lower income. Individuals who are wealthier will normally (and then some) provide the basic necessities of life.
The degree to which a tax system is progressive relies on how fast tax rates rise relative to income increases.
For example, if the tax code has a low 10% and a high 30% rate, and the income tax rate is between 10 and 80%, the latter is progressionary.