ADVANTAGES OF PAYING TAXES
1. Helps to pay Government Allowance
We need to pay taxes to run the government. Like any other institution, government is embodied by employees running to serve the whole populace. It has its own administrators, personnel, and facilities. Thus, the entire machinery needs financial assistance to govern the community. Our taxes are used to finance the administrators and employees. Generally, the taxes we pay are directed towards the government. It consequently distributes allowances for each and every sector of the government. Can you ever imagine the nation without the government?
2. Construction and Maintenance of Public Facilities
We drive smoothly on highways. We travel a lot because we want to enjoy public amenities like museums, parks and other recreational facilities. Remember, we all contribute to build up roads, bridges and highways. These are not merely projects of the elected officials. The money used to build each and every public facility comes from our own pockets through the taxes we pay. In fact, we should be proud that we have contributed towards the construction and maintenance of all amenities enjoyed by the community.
3. Provision of Health Care Assistance and Education
We pay taxes because we care for the less privileged community. Not all of us can afford the best medical care and attain the highest education. Part of the taxes we pay will benefit the less fortunate ones to get free healthcare assistance and free education.
4. Provision of Social and National Security
Do not ever attempt to call 911 when you don't pay your due taxes responsibly. We pay for the services of the policemen and fire-fighters in our society. Although created by the government, we sustain the services of these social guardians through the taxes we pay. Furthermore, we sleep in comfort knowing that our nation is protected from external enemies by our tough soldiers.
5. Enhances Community/rural development
We pay taxes to create social responsibility within the society. We sponsor all public facilities that are being enjoyed by the entire community. Tax payers must not whine about having to dig deep into their pockets instead they must understand the real essence of paying taxes. Because we contribute to the existence of these public amenities, we must be proud citizens.
DISADVANTAGES OF NOT PAYING TAX
1. It Discourages investors
When taxes rise, the citizens and businesses of a country pay more of their income to the government. This can create a disincentive to invest in business, as investors will necessarily receive a smaller return on their investment. Businesses, in turn, may be discouraged from expanding, as the profits they make will be curtailed by a high tax rate. This discouragement can have many dire effects on a country related to the retardation of its economy. According to the Heritage Foundation, a conservative think tank, an increase in taxes can often lead to a loss of jobs, a decline in the country's gross domestic product, and a decline in take-home income for citizens, leading to an overall decline in quality of life.
2. It may Serves as a Means Penalize Hard Work
In addition to discouraging investment, high taxes can also stifle the motivation of individual workers. In addition to the macroeconomic problems that high taxes can precipitate, an onerous tax scheme can have the effect of penalizing hard work. As citizens work harder and earn more money, more and more of their income is given to the government. This can appear unfair and lead to a decline in a country's morale, but can also provide a disincentive for productivity. This lack of productivity can lead to a competitive disadvantage for the country, dissuading international businesses from hiring from that country's labor force.
3. It Increases Government Control /Exploitation
When a government collects more in tax revenues, it accumulates more money to spend. This increase in discretionary income, compared with the money available to the citizens and businesses of the country, causes a shift in power away from the people towards the government. The government, albeit often an elected one then has more power to fund policies, subsidize industries, and extend their control over more areas of private life. Although many governments use this wealth benevolently, a concentration of money can also lead to abuses.
4. It may give room for corruption
Government officials use tax to make themselves wealthy. Wealthy governments often have less need to respond to their wishes of their citizens, as they are not beholden to them to finance endeavours. By contrast, the power of a country in which citizens hold the majority of the country's resources lies clearly with its people.
5. It denies a person of the following - Send your children to public schools and state universities; Expect for Medicare assistance when you get older; Attempt to seek help from 911 hotlines; Aware yourself with weather forecast; Utilize public transportation; Expect that you are protected from violence; Use the post office; Apply for government grants; Look at the public safety signs; Use any public amenities.
Written by NEWSTRAWL ONLINE UPDATE
Sodiq Oyeleke is a Media, Human Resources, Project Management and Public Relations Practitioner
0 comments:
Post a Comment