Nobody wants to pay taxes, but everyone does

in #cryptocurrency5 years ago
You would be hard pressed to find someone who is delighted with the idea of paying taxes. Yes of course, there are countless of people who depend on the governmental structures and thus intrinsically support the system, but if you were to dig deeper, you would see that even those people, would love to not have to foot any part of the bill in any way.
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Taxes are nothing new


An important thing to point out here, is that taxes have existed almost since the inception of society. Of course it has evolved, of course the concept of ownership had to rise for even a debate to happen, but the idea of paying a fair share to a landlord, the king, the state, or Julius Caesar to go even further back is something all of us should be aware of.

Now I realize not everyone enjoys history as much as I do, but the lessons are there and thus I can't avoid talking about the subject without making at least some references to it, so please bear with me for a minute or two.

When tax was simple, feudal times, people had very little say over anything they owned and did. The owner of the lands, the man who lived in the castle in other words, allowed peasants to live in his lands, and the peasants would work the lands without pay of any kind. Regardless of what they produced, wool, meat or crops, the landlord would simply take his share when the time was right, consume a part, and the rest would go to the markets, which in turn would become the source of his wealth.

Now, it's no secret that the feudal system was flawed, and I'm sure the greed of landlords was the topic of anxiety for the peasants of the time. They too hated having to pay taxes, and surely complained all the time. However, if they did not pay, they would get kicked out of the lands as ownership of land was not transmisible at the time.

Fast forward thousands of years and here we are, outside of feudality, but with a system that surely resembles the disproportionate power dynamics. We "own" land now, we own houses, assets, but we still have a landlord, and if we don't pay the landlord it's share, they would lift the veil of ownership from us.

How was this enforced back then, and how is this enforced now? Violence of course, in many ways shapes and forms. Back then I'm sure it was quite literal, a spear to the heart, but I submit to you that someone being put on the streets and made homeless is experiencing a violent act just the same.

The complicated Economic Webbing


Maybe because of the necessity to organize at big scale, the systems that we have edified as societies are complicated webbings of incentives and deterrents. These systems have been in constant evolution since those early days, but the direction has been consistent, or at least it appears to be the case at first glance.

When banking was introduced, back when it was nothing but warehouses storing grain and writing ownership into sea shells, the first elements of convenience and thus incentives were introduced. All of the sudden we did not have to carry pounds of grain to transact, but could do so by exchanging sea shells that guaranteed grain from a centralized storage, and if we were to use a little imagination here, we could probably guess how everything played out afterwards.

We can see then how with the promise of convenience, taxation became easier to impose and execute, and today we know this all too well. Everything that we own, every dollar that passes through our bank accounts, everything we do is being monitored and this is not me succumbing to paranoia.

But again, we love convenience, all of us do. We want to be able to use banks, have a job, own a home, etc and there is no way of enjoying all the convenience of the system while not paying the cost it's built to bill us with, taxes.

What nobody thinks about


Here is an unpopular opinion that is more factual than just a mere opinion: Everyone gets taxed, absolutely everyone. Yes, even those who stuff money under the mattress get taxed, but the difference is that they probably are being taxed at the lowest rate, 2% for most years.

What am I talking about you say? It's actually quite simple. You see, when the government sets up structures, it does so expecting a certain amount of money to come back to it. Very much like the landlords of ancient times, and any King you can think of, the government has plans for all the money they are going to get back through taxes and there is no way of us stopping them, at least not as long as we are part of the convenient system.

When the government can't collect enough taxes from it's people, when corporations have paid enough bribes or campaign contributions as we know them, to elect the government they want. The government in turn pulls on it's most amazing magical tricks, it adjusts inflation.

Think about that for a second, when they need more money and can't collect it from "the people" via normal means, if we can even use the word normal here. They simply print more, adjust inflation by a few points and take it anyways. This means that if you for example stored 1000 dollars in a vault inside your home, they were able to pull 20 bucks out of it without having to actually open it.

And this has been the cat and mouse game we've been playing for as long as we've been a civilized society it seems, and denying it seems futile.

If you take your time to wrap your head around these dynamics, the system that is designed to never fail for those on the top, then you should be able to see precisely why it's important for them to discredit anything that can tumble said system. In other words, the game is rigged, you can't get out, not really, and creating something like cryptocurrencies cannot be tolerated because they offer an exit.

So the next time you read something negative about Bitcoin, or any other crypto for that matter, specially if it's coming from an authority, remember the way the game was designed and take their negative fear mongering comments for what they really are, a compliment.



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there are ways not to get taxed. businesses know about them. accountants know about them.

I prefer being as non-beholden as I can to a political state I find distasteful. In theory I don't mind paying some taxes - for roads, welfare, civil servants to do their job. What I refuse to pay for? wars, subsidies to rich corporations, inflated salaries for congressmen.

What if... think about the reality here... what if 10k people got together and refused to pay taxes? It's been done. There used to be a tax on phone bills, hidden in the fees, that was a war tax from the 1950s.

A group of us got together and refused to pay that tax. Know what? Nothing ever happened to us. Maybe they couldn't be bothered as we were too small fry, or in a way, conscientious objectors. maybe they knew the tax was bogus, something ATT was getting rich off of, and wanted to keep it out of the courts.

What I am saying here is we pay taxes because we assume that we will get in trouble. I'm just throwing a wrench in the thought works. Because we all have a choice about the numbers we put on that W-4 form. We all have a choice every April.

We are so indoctrinated by the system to think that the only choice is to pay taxes. And while not paying taxes may be risky, it is still - an option.

I think this post (like many posts about taxation) glosses over a very large part of what taxes actually do, and why they are levied.

Now this isn't about federal taxes which I'm sure we can all agree are a little over the top. I'm also not talking about how other countries deal with taxation. So from a US centric point of view let us consider local and state governments.

When a city is formed there are certain criteria that people expect from the municipality: Roads, clean water, waste removal, police, and fire. Each of those things take money to build and maintain. So the city raises money through property and sales tax. However, as the price of things increase, whether or not the increase is due to natural (scarcity) or artificial (the devaluation of currency) means, the city is forced to go into debt to continue with the projects that the citizens demand. The debt is then transferred to the people in the form of a small tax increase. Over time because of the continued increase in costs, and the ever growing population a city falls further and further into debt, which is again passed on to the people.

But here is the rub.

Every project is voted on, in public forum, broadcast through multiple channels up to two weeks before the vote is made as required by either state or local law. Unfortunately, that isn't enough to get people out to the polls or to be engaged in the process. So we say "DAMN government taking my money!", but we are allowing them to either through requesting a service, demanding a service to remain, OR not being involved at all.

Of course I would love to have complete control of where my pennies were spent, but we don't live in that world.

Yes,I don't think demand for government will ever go away...

I guess my main problem with the system is not if the design is flawed or not per say.. it's more that the corruption elements make it to where our tax money is used for things none of us really want.

financing wars in 9 different countries is a whole different story all together.

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I can relate all to well with this as it is amazing how the salaried workers have it much worst off due to how the tax structure is. It thus incentivizes more entrepreneurial thoughts as expenses can offset the income you make but they still get their piece. Then add the layers of tax as well as many people pay not only Federally but state, local, property and even sales tax! It would not all be so bad if you got the services commensurate with what you pay but does work that way either as we stil need to pay for health, education and security. So what are we paying for? Didn’t mean to rant but it hits close for me...

Whenever I cash out I will pay them, just need to find out all the legal things and such, but right now this is not even clear or recognized there... I'll find a way though to do it all well.

Yes everyone doesn't like paying taxes, but they do it, because it must be done.😃

Of course noone likes to pay taxes - but we all like roads where we can drive without disappearing in potholes, it's a given that we have schools and libraries and parks and fire brigades and public transport and a lot of other things. Without taxes...

The important thing you didn't say about the early history of taxes is that they were only levied on conquered people and exceptionally in times of war. The ubiquity if taxation is an outgrowth of the total state of modern times, the historical precedent is far smaller than you claim.

I think you should also be wary of calling any extraction of wealth a "tax". Inflation is not a tax, but it is effectively wealth extraction.

Also interesting note, if you put gold bars in your vault instead of dollar bills you'd have a very reliable store of wealth on the whole.

I think you should also be wary of calling any extraction of wealth a "tax". Inflation is not a tax, but it is effectively wealth extraction.

Correct, but for the sake of argument I'm making the equivalence.. at the end of they day it comes down to the same thing... if they can't tax the money they want to spend for the over bloated governmental structures, they just take the wealth from the constituency.

Yes, no disagreement there.

And there were two other points.

I won't lie.. my thoughts lately have been heavily inspired by some of the ideas from Yanis Varoufakis, have you read any of his stuff?

He also has some nice speeches... I don't agree with everything of course, but he makes some strong points.

I have not. I'm not that familiar with his positions so I shouldn't really comment. Would you like to go into more detail?

I'm sure plenty more writings will be influenced by some of his ideas... but in all honesty, the whole conversation is so complex, it would talk a wall of text for me to explain it all....

Tell you what... Listen to this...

Give it a good chance.... listen to just the speech, its not as long as the video... This video peaked my curiosity enough that I got the book soon after.

Sure, why not 😁 Thank you

To listen to the audio version of this article click on the play image.

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