Which individual income system would work best?

SubjectEconomics YearSenior secondary Curriculum Time100

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Introduction

In this activity, students use an interactive to explore the impact of different income tax systems on the income received and tax paid by people on different incomes and how these systems affect government revenue. They use the interactive to create an income tax system they think is fairest and justify their choice.

Australian Curriculum or Syllabus

This activity addresses how the progressive system of income tax is used to achieve equity in the distribution of income.

See also:

Teacher resources

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Video

How does Australia's income tax system work?

Student learning resources

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Instructions

Income tax systems calculator – Instructions

 
Calculator

Income tax systems calculator

 
Worksheet

Which individual income system would work best?

Suggested activity sequence

This sequence is intended as a framework to be modified and adapted by teachers to suit the needs of a class group. If you assign this activity to a class, your students will be assigned all student resources on their 'My learning' page. You can also hand-pick the resources students are assigned by selecting individual resources when you add a work item to a class in 'My classes'.

  1. Play: How does Australia’s income tax system work? This video explains how Australia’s progressive income tax system works.
  2. As a class, discuss how a progressive income tax system promotes equity in the distribution of income.
  3. Students complete part 1 of the worksheet. Students will need to access the interactive in order to complete the worksheet. If necessary, refer them to the calculator instructions
  4. Organise students into pairs.
  5. Pairs complete part 2 of the worksheet.
  6. Students present and justify their decisions to the class.

Useful prior learning