“Stop using the tax system to address social or equity issues”

“It’s time to stop using the tax system to address social engineering or equity issues. It never works. The tax system’s only purpose is to raise the revenue the government needs as simply and efficiently as possible.”

9 Comments

  1. artcroft

     /  September 22, 2018

    Amen

  2. Griff.

     /  September 22, 2018

    Gee.
    Economics .
    Increase the cost to reduce the use.
    Transfer the costs onto the user.
    Place a value on the use of the commons .
    Valid approaches that use tax to engender a desired social or equity outcome by goverment.
    Those who have been sucked in by the libertarian propaganda are going to want to minimize tax anyway.
    Often the same peploe who often demand that say cannabis users pays for the damage it does.

  3. Gezza

     /  September 22, 2018

    It’s time to stop using the tax system to address social engineering or equity issues. It never works.
    Huh? Yes it does.

    • alloytoo

       /  September 22, 2018

      “Huh? Yes it does.”

      No it doesn’t.

      The spending of said taxes for socially desirable outcomes yes.

      Let’s not confuse the collection of taxes with the provision of state services.

      Tax payers need to view necessary and desirable state services as representing the overwhelming majority of state expenditure.

      It’s a demand/supply curve, the price of taxes and the level of state services needs to suit the majority of tax payers or they leave, or begin to engage in avoidance behavior.

      Makes taxes overly complicated and they enable avoidance behavior.

      The vast majority of social engineering and equity driven taxes are by their nature overly complicated. As a result this they cost more to administer. This is viewed by the taxpayer as undesirable (reducing the demand curve) and at the same time needs to collect more to cover said cost (raising the supply curve).

      The result is always the same, people leave and people avoid.

  4. unitedtribes2

     /  September 22, 2018

    Not sure if it is social engineering but tobacco tax seems to have decreased smoking

  5. PartisanZ

     /  September 22, 2018

    Well, since the system IS social … and hence ALL tax is an equity issue …

    STOP USING THE TAX SYSTEM TO CREATE SOCIAL AND EQUITY PROBLEMS!