Tuesday, March 23, 2010


Taxes is simply the price you pay to the country for providing you the infrastructure (roads, police, hospitals, etc) that you use. Tax breaks are no different than a discount to a particular product (e.g. tax refund on taxes you pay when buying a house). This motivates people to do certain activities that are essentially deemed as being good for the country's bottom line (revenue).

If the government and the people looked at taxes the way I have written it as above, the necessary changes to taxes would be so much clearer and more accepted. Further taxing of high income people is silly and can be extremely detrimental. Taxing people who made income by doing activities that are non value add to anyone other than himself (e.g. gambling) or by depending heavily on the infrastructure that the government provides, makes far more sense. Essentially, you are paying the fair price to what you consume. Here is the bottom line, if people were to look at the government as just another management team to a large corporation, their actions would be far clearer and made much more objective. Just a thought...

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