The taxation dilemma
Taxes have been a very hot and very sensitive topic for a very long time and still is today.
Most people do understand that we have built a society that runs on taxation, the government needs the money to run the country. For the most part people can accept that. The issue most of us have is the amount we are taxed and how the money is spent.
We do not want to see politicians living high on the hog or giving themselves raises and bonuses, especially when the country is in debt and there are unemployed people.
Our politicians need to realise that they work for us and that they are actually a servant, not a boss or lord over us. We are not the worker bees working so they can tax us and live lavish lifestyles like kings and queens. But that is a whole other topic.
One of the other very sensitive areas of taxation is the amount businesses are taxed. On the surface we feel that big business should get taxed the same as all citizens do. It makes sense on the surface. I was one of the many voices advocating for that when I was younger.
As I got older, I got wiser. As much as I would love to see big business taxed the same as everyone else, I also realised that does not work.
A business is obviously in the money making business, no matter what goods and services they offer or produce. If a business is taxed high (compared with other low tax nations) that business will simply close its doors and move its operation to a country where taxes (and wages) are lower. We have seen a lot of this in Canada under the Trudeau government because of his high and/or new taxes.
We have had many business leave and those that stayed have laid many of their workers off.
If however a business is taxed lower, they will then stay in the country and employ people who pay taxes and spend money, and also that business will reinvest in itself and grow and then employ more people who pay taxes and will spend money. This will grow the economy and give the government a greater tax revenue.
So even if it may not seem fair to tax businesses less, in the end it benefits everyone.
Taxes really are a necessary evil in this day and age.
However, there are taxes that do not work. Trudeau has implemented and forced our provinces and territories to implement his carbon tax. This tax has drastically raised the cost of living in Canada. Everything from fuel, food, electricity etc...everything has become more expensive and the tax money has not done anything positive for the environment. It has made life a great deal more difficult and expensive.
Some taxes can be justified, others can not.
Our government and politicians need to look at the reality of life and taxes and get it straight. If we continue on this road of high taxes our nation and its citizens will not survive.
It all begins at the top. Instead of raising taxes and inventing more taxes, it is best for the government to cut it's own spending. Cut spending on their tax payer meals, travel, housing, bonuses, moving etc. That will save hundreds of millions of dollars. They need to cut at the top before even considering raising taxes. Our politicians are all very wealthy, they can pay for their own meals, travel, housing etc.
We all have to pay for those ourselves. If we can not afford it, we don't make others pay our way, we cut where we can and save for what we want and need.
That burden should never fall on the tax paying citizen. It is time for politicians to save tax payer money and for them to pay their own way, just like the rest of us have to
This article is accurate and true to the best of the author’s knowledge. Content is for informational or entertainment purposes only and does not substitute for personal counsel or professional advice in business, financial, legal, or technical matters.
© 2019 Thomas Czech