A new discrete formulation of the most commonly used tax progressivity indexes is
suggested. This approach allows one to rigorously prove that in some cases the
Dalton/Musgrave-Thin and the Kakwani/Suits indexes may rank tax systems differ
ently. Moreover, it enables one, when comparing tax progressivity in two countries
(or over time) to precisely determine which part of the gap between the indexes is
due to differences in pretax incomes, in (standardized) tax rates, and eventually also
in the average tax burden. An illustration based on U.S. and Canadian data for the
year 1985 confirms the empirical relevance of this formulation of the tax progressivity indexes.
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