Quote from: 7788bitcoin on Today at 09:59:35 AM

Quote from: South Park on July 04, 2021, 05:29:27 PM

Governments all over the world are raising taxes in order to recover some of the money they lost during the pandemic and they could not have chosen a worst time in order to do it, the economy is weak, in fact they should be doing the opposite and trying to do their best to get smaller but that is never an option so they are going to raise the taxation on every single industry that they can and I will not be surprised if they kill a few industries due to this increase in the taxes corporations need to pay.

The government is taking this as an opportunity to increase the tax and the problem is that they will be using the pandemic as an excuse to increase the tax and once they increase there is no way they are going to reduce them even if the economic situation settles down and keeps on booming. If they are reducing the tax of the common man and increase those taxes then it would be great, but you cannot expect that as well with many governments.

The way I see it there are two things governments can do and will do to collect the money they need under the 'tax' name umbrella. Either ask for increase in income tax or capital gain (it will only make sense if they go for the big guys) or keep these levels the same while inflation will rise through the through creating a deflationary fiat value.

It is either through higher tax or inflation that some of the money can be recouped by governments as a result of the decrease in that country GDP. The result is the same - people being left with less money in their pockets or a reduced purchasing power.