Hi All. I'm new to the forum. I just have a question about finance terminology.

In various places in the world there are banded tax rates for things like PAYE, CGT, Property tax, stamp duty etc.

Lets say in my hypothetical example I'm buying a house and have to pay stamp duty at a different rate dependent on the price of the house

Lets say there are 3 bands
0-317,500: 2%
317,501-500,000: 4%
500,001-1,000,000: 6%

Lets say I am purchasing a property worth 750,000

There are two ways of interpreting these banded rates. One is that it costs me 6% of the total cost of the house in which case my tax bill is 45,000.

The second is cummulative. I pay 2% for the first 317,500 4% for the next 182,499 and 6% for the final 249,999. In this case my tax bill is 28649.90 (or thereabouts).

My question is what is the technical financial term for two methods of banding?

Thanks in advance.