What is an Effective Tax Rate?

Effective tax rate, assuming a fixed tax rate, rather than a progressive tax rate, the tax rate at which taxpayers pay taxes.

Effective tax rate

Right!

Effective tax rate, assuming a fixed tax rate, rather than a progressive tax rate, the tax rate at which taxpayers pay taxes.

Effective Tax Rate

Explanation:

Refers to the effective tax rate actually paid by the taxpayer, which is equal to the actual tax paid by the taxpayer divided by the taxable object. In the absence of tax burden shifting, it is equal to the tax burden rate. In some taxes, due to the implementation of tax allowances, tax benefits, pre-tax deductions, and excessive progressive collection systems, the tax paid by the taxpayer is different from the tax calculated based on the tax rates listed in the tax rate table, forming the actual tax rate and the nominal tax rate rate). It is calculated by dividing total tax paid by taxable income.