Direct taxes increase with household income

Steps:

• Examine the table data for direct tax amounts across household income levels.
• Compare tax paid by low-income vs. high-income households.
• Identify patterns: tax amounts rise as income rises.
• Conclude the system favors higher payments from richer groups.

Why D is correct:

• Direct tax data shows absolute amounts paid increase with income, aligning with progressive taxation where richer households bear more burden per UK tax law.

Why the others are wrong:

• A: Data indicates richest pay proportionally more, making it fairer, not unfair.
• B: Poorer households pay less due to exemptions and lower rates, which is standard.
• C: Tax is progressive (higher rates for richer), not proportional (flat rate).

Final answer: D