Wednesday, June 25, 2008

Life's little constants

Somebody needs to explain to me why there is such a stigma attached to taxes in this country. Tax policy has become a scare tactic and I’m tired of it.

Taxes are not stealing for Christ’s sake. Let’s just drop the hyperbole. The purpose of tax money is to buy the things individuals cannot afford or would not buy on their own- things like, oh I don’t know, roads? Water treatment facilities? Schools? Bridges? Public health programs? Any of these sound familiar? Without taxes, none of those would exist and public facilities would be even more dismal than they are. In fact, there would be no public facilities because if they were built privately you’d get charged to use them.

I'm tired of the argument "America has the highest business tax rates in the world". On paper, sure, we're at 35%. But that's not the important number. It's what people ACTUALLY PAY that's important. In that respect, we're among the lowest in the world.
Several recent reports highlight that most of the largest companies in the U.S. pay LESS THAN 5%. So in reality, we have one of the lowest rates. That makes this a completely bullshit argument and anyone proffering it as a reason for America's non-competitiveness doesn't have a grounding in reality.

The use of taxes as a political tool is beyond retarded. We’ve created a situation where Americans are so anti-tax that the things that made this country great (the highway system, modern electric grids, access to clean water) are falling apart. We like to think we can jump to the front without paying for it. And we’re about to face some hard realities for the last few decades of free-wheeling spending, massive corporate and upper-income tax cuts, and utter failure to invest in our declining infrastructure.

Think of it like this- every day, every single person benefits from public things. Whether it’s education, crime prevention, fire fighting services, or military protection, we all benefit. So we should all pay. Period. And we should pay in proportion to how we have benefited. The rich have profited from the labor of Americans, the infrastructure of America, the education provided to Americans, and the regulatory structures of America. Therefore they should put some of their profits back into America for the next generation and to just show some fucking appreciation. Without those services and labor, they would have nothing.

I’m not opposed to letting people keep what they earn. I think individuals make better choices than government. But they will never make choices that are in the interest of the common good. They will make the best decision for them. Therefore, we need a system that everyone who can afford to pays into that WILL (theoretically) do things that are in the common interest. Am I tired of my tax money going to things I don’t believe in? Sure I am. We all are. We’re the ones paying for these wars, not the people at the top of the ladder. But without a military, we wouldn’t have the country we do have. We have to realize the importance of things we may not like or we’re just as bad as the people that don’t want to believe we really have a low corporate tax rate. Some people like art, some like weapons, and some like free travel on highways. Sometimes you have to put up with things you don’t like to get benefits that you do. (I’m not justifying spending money on pointless wars, just that we have to live with trade-offs in how public money is spent, as we must in a pluralistic government).

I hate this anti-tax sentiment that closely follows the over-consumption sentiment we have. You can’t run trillion dollar military exercises, $600 billion deficits, and address the roots of social problems without tax money. It just doesn’t work in the long term.

So let’s stop complaining about taxes and instead hold the leadership accountable for how that money is spent. We need more funds for education, health care, infrastructure, environmental protection and remediation, and social programs that really benefit those stuck in poverty (which is at least 10% of the population though you wouldn’t know it from news reports). Taxes should be an investment in our communities, our culture, and our future. They should not be a political argument. They should be a source of pride that we are willing to invest in ourselves and help those that do not have the means to help themselves.

5 comments:

Anonymous said...

I belive that people would be more inclined to pay their taxes without sniveling if we did not have so many examples of government waste (such as the bridge to nowhere in Alaska).

Brandon said...

There is a lot of waste. Far too much. But that's why we should hold leadership accountable for how they spend the money, not the fact that they take it in. We also need to organize our priorities. Are we going to be a military nation, a scientific nation (money for research, grants, etc), a socially oriented nation (health care, employment insurance, programs for parents to stay home with children), or some combination? Right now, we're heading down the military road with less money in each budget for the other things.

We're not investing tax money in any sense of the word. And that's really what I think it should be- an investment in the country.

I see two issues: the perception of taxes themselves and how those taxes are spent. And they feed back on each other. Pork barrel programs and over-priced hammers and toilet seats are a fly-by-night excuse for why our tax money disappears. Add them up. Those wastes are only a fraction of military spending, "security" spending, and interest on the national debt. Everything else- all the investment in future capital needs- has become secondary to present consumption and protection. We have to break the cycle. We need to vote for fiscally responsible leaders that will raise taxes when necessary, lower them when surpluses allow, are honest about public money, and invest that money in ways that benefit everyone.

Anonymous said...

I agree that waste is not a major portion of the federal spending, but public perception is a big part of the issue.

As far as lowering taxes when surpluses allow...Robert Heinlein said it best "there is nothing as permanent as a temporary tax". Our government spends just the way the people do...often on unnecessary things, often on credit; and when income goes up, so does spending.

Anonymous said...

Brandon, I think you hit on the crux of the issue in your comment above: tax money should be an investment in the country.

Instead we are left with a confusing tax system that requires many people to pay a specialist just to compute what the government can take. In the process the people and corporations that make the most money pay proportionately less than those with little money in the first place.

The system would then appear to be broken because it doesn't take money in an even and effective way from the people and doesn't distribute effectively back into the country. We are left with a crumbling infrastructure, illiterate populace, and more debt than you can shake a whale at.

The Ambassador said...

As a government Junkie, I love taxes. As a citizen, I do not want to pay for wellfare, WIC, or public healthcare (this is a private secotr issue) but I still do and if I had to pay a little more for a great military and science/education improvements that places the US on the forefront once again, I would welcome it. Even knowing that some of the money would be spent on the items mentioned above. I may be a Republican but I am also realistic and despite my soapbox antics, I really could live with a little less. I am verrrrrry fortunate to be able to continue living without changing a damn thing despite the higher prices. I have yet to feel the impact on my personal spending. So what if I give a little more to taxes.

Speaking of taxes, the State is sending a bill to the Governator that would allow SANDAG to charge a San Diego County "Quality of life" tax. This will pay for environmental programs to clean up the waterways and mitigation from development. SD County got our own special bill in a State that sees us as "just South of Los Angeles (a CNN reporter actually signed off this way from the Miramar Air Station in 2002.).