Post
Topic
Board Economics
Re: Reason we pay taxes and why we should
by
Samarkand
on 02/06/2018, 14:57:34 UTC
...
Rather than being openly against taxes and avoid paying them, why not concentrate the effort on electing a parliament and indirectly a government that will not play around with our money?
...

Many people are not asking for the complete removal of a tax system, but rather disagree
with the high level of taxation in their respective country. I´d have no problem with paying
a fixed 10 % tax on all my income, but I do have a problem with paying 40 % or more
(especially, because the actual tax burden is even higher due to taxation via inflation
and consumption taxes).

The problem with focusing on electing a more responsible government is an inherent problem
of democracies. The easiest way to get people to vote for you is to promise to increase government
spending and government handouts. This leads to a bidding war between politicians and
ruins the state finances in the long-term every single time.

Besides, most countries have a huge electorate that is living directly off government transfers and
is therefore heavily incentivized to vote for irresponsible candidates that will not
consolidate the finances of the state.