This is a system of taxation where those who earn more pay more taxes. India follows progressive taxation system, protecting the poor or lower income families from paying too much tax.

Example:
India applies higher tax on higher income for example –
Up to INR 2.5 lakhs: No tax
From INR 2.5 lakhs to 5 lakhs: 5% tax (INR 12,500)
From INR 5 lakhs to 7.5 lakhs: 10% tax (INR 25,000)
From INR 7.5 lakhs to 10 lakhs: 15% tax (INR 37,500)