Negative income tax

A negative income tax is a plan for guaranteeing an income to the poor through some form of a reverse income tax. As a family's income increases, the government's payments to the family would decrease. When the family's income reaches a threshold, such as the poverty level, then the government assistance would decline to zero.[1]

## References[edit]

1. ↑ http://www.econlib.org/library/Enc1/NegativeIncomeTax.html