Critical Reasoning

One state adds a 7 percent sales tax to the price of most products purchased within its jurisdiction. This tax, therefore, if viewed as tax on income, has the reverse effect of the federal income tax: the lower the income, the higher the annual percentage rate at which the income is taxed.
The conclusion above would be properly drawn if which of the following were assumed as a premise?
(A) The amount of money citizens spend on products subject to the state tax tends to be equal across income levels.
(B) The federal income tax favors citizens with high incomes, whereas the state sales tax favors citizens with low incomes.
(C) Citizens with low annual incomes can afford to pay a relatively higher percentage of their incomes in state sales tax, since their federal income tax is relatively low.
(D) The lower a state’s sales tax, the more it will tend to redistribute income from the more affluent citizens to the rest of society.
(E) Citizens who fail to earn federally taxable income are also exempt from the state sales tax.

IMO A.

edit: finally have a chance to write down why I think it is A.

premise: tells us that 7% tax is for everyone, doesn't matter what income level you are in.

conclusion: Says that this is not like the federal income tax where the tax is proportional to your income level. It appears to be the reverse case where the lower income levels seem to have a higher percentage taxed.

A incorporates both the conclusion and the premise by stating that if they spend the same amount of money on products being purchased, it does give off the "optical illusion" that lower income levels have a higher tax rate since it is so drastically different than the Federal Income tax.

IMO A
only if The amount of money citizens spend on products subject to the state tax is equal across all income levels, you can conclude that tax rate is high for low income levels
for ex: lets say everyone from both income levels spend 200 bucks. tax is 14 bucks for both of them
now person with income 10000 bucks is paying only .14%. but a person with income 1000 bucks is paying 1.4%

but if the guy with income 1000 bucks had purchased stuff for 10 bucks only the tax rate would be even lower than .14%

IMO - A

OA Please.

Why not B?

I believe the answer should be A