If all purchases Sales and Use Tax are subject to the same tax rate, the nick rate itself is flat with avant-garde income people paying extended tax as they consume more. While the capitation on spending as a percentage of gross income may be regressive, the effective bite rates can be progressive on consumption due to exemptions or rebates. If a sales obligation is to be related to income, then the unspent income can be treated as tax-deferred (spending savings at a later point in time), at which epoch it is taxed. Sales taxes often exclude difficulty or provide rebates in an effort to create progressive effects. In abounding locations, "necessary" items such as non-prepared food, clothing, or prescription drugs are exempt from sales impost to alleviate the burden on the poor.
Review of company purchases to determine which assets may qualify for exemptions. Finding overlooked exemptions often results in significant savings.