What would happen if the government did not tax?

Without taxes, the government would have no money to provide services. Without taxes, we would live in a very different society. If asked whether it would be a good idea to get rid of taxes, most people would probably answer ‘yes’. Paying less tax would mean that people had more money of their own to spend.

Why we need to pay tax to the government?

The tax paid by us becomes a receipt (income) for the government of India. They use the receipts to fund essential expenses like defence, police, judiciary, public health, infrastructure etc. Generally speaking, we can say that the tax money is used to fund recurring and non-recurring expenses of the country.

Do governments need tax?

Why are taxes needed by the Government? The Government needs to raise money through taxation to deliver their spending priorities and to fund key public services such as schools, the NHS and the armed forces.

Why don’t the working class pay taxes like the rich?

The problem is that regular workers cannot dodge it like the rich. And thus they become the perpetual taxpayers. The rich don’t pay taxes. And the reason is that they can afford not to. Every attempt by any government to tax the rich always ends up throwing the working-class under the bus.

Should we raise taxes on the middle-class?

To raise these rates would mean raising the tax burden on low-income and middle-class American families. In addition, not all income earned by households is subject to federal taxes, due to provisions such as the exclusion of employer-sponsored health insurance and several itemized deductions.

Why can’t countries just stop taking taxes?

But most countries can’t stop taking taxes because of their control of monetary policy. Taxes have also been a tool to fool naive people. When governments want to raise taxes, they always begin by saying that the taxes are for the rich.

Does income tax ever get to the rich?

So, income tax never gets to the rich. Their income is just a buffer. It is always a modest amount. Rich people in the spotlight often have some sort of amount as income just so that they can pay taxes (to attract goodwill).