Graduated Tax Law and Legal Definition
Graduated tax refers to a tax in which the rate increases as the amount subject to taxation increases. It is otherwise known as progressive tax.
If different rates are levied on inheritances or bequests, according to the degree of relationship of the heir or successor, the tax is sometimes called a graduated or progressive tax. [State ex rel. Foot v. Bazille, 97 Minn. 11, 19 (Minn. 1905)].