A tax where the ratio of tax paid to the taxable amount falls as the taxable amount rises, or the burden falls with ability to pay. A regressive tax system redistributes from the poorer members of society to the richer members. There are many ways a tax system can be made regressive. A tax which has a maximum direct tax charge irrespective of income is regressive in both senses. Having indirect taxes levied at relatively high rates on goods heavily consumed by the poor is regressive in the second sense.