TED Conversations

Tako Iagorashvili

This conversation is closed.

How people meet the taxation system in Europe and in the USA. Do they have any protest about this or that kind of taxation?

People are complaining about too much money "stolen" from their pocket by the government. I'm Georgian citizen and I'm interested what is happening in the European countries and in USA .

Share:
  • thumb
    Dec 1 2012: In the USA, the tax system is so complex, and there are so many "hidden taxes" that people don't know what percent of their income is spent on taxes. If they did, there would be a huge outcry.

    Example: corporate income taxes. Let's say that you want to build a car. It begins in the iron mines. These companies dig the ore and sell it, adding into the cost the price of employee taxes, overhead - including things like phone, water, and electricity taxes, and then taxes on profits. The shippers who transport the ore have their own taxes to pay that are hidden in the cost of fuel, plus the known taxes, plus their own payroll & corporate taxes & utility taxes &n taxes on profits. The foundry that melts the ore has similar costs, as do the machinists factories who turn the metal into usable parts. Shipping expenses (taxes) are added with each step in the process. Finally, all the parts get the the car factory, where the same taxes are added into the price before selling the cars to the dealerships. The dealership has its own taxes to pay and it builds that overhead into the cost of the car. The buyer pays a hefty sales tax but doesn't know how much of the price of the car is paid out in taxes.

    I'm pretty sure that there would be a taxpayer revolt if all corporate and payroll taxes were waived and individuals were taxed through only direct taxation. Then they might pay more attention to what is happening in our own country. Right now they are very unaware.
  • thumb
    Dec 1 2012: around me, taxation is perceived by everyone like the weather. they don't like it, but they see it as something unavoidable. the government has a relative freedom in adding on new taxes, and while it reduces their popularity, and may cause the other party to win the next elections, it would not lead to sizeable turmoil. unlike for example reducing spending, which directly affects some interest groups, and results in strikes and marches. so i don't think that this "complaining" should be taken too much seriously. it is just the usual whining you get about almost everything. but in fact taxes are pretty low on people's problem list.
  • Dec 1 2012: When van Hayek criticized corporaqtions and patent law These characters seemed not to notice. Corporate bureaucracy can be far more non-responsive that government. Shouldn't this be the object of the American No taxation without representation. The modern East India company. And then the corporations and billionaires always rear their ugly heads. Okay I'm being a bit strong, but Xavier is right. More so than HE MAY REALIZE in this brave new world of propaganda/advertising.
  • thumb
    Nov 30 2012: "People are complaining about too much money "stolen" from their pocket by the government."

    These tend to be grass-roots Libertarians who don't seem to be aware that they're often far more reliant on the services paid for by taxation than anyone else.
    I'm not entirely sure how much people take notice of them, except for the fact that what such groups typically fight for (no taxes and no regulation) just seems to be exactly what a number of Multi Billionaires want (no taxes and no regulation).
    I'm not inclined to believe its a coincidence.
  • thumb
    Nov 30 2012: This has been an issue in the United States since colonial times, with the rallying cry at the Boston Tea Party being "No taxation without representation."

    There is continuous debate over how much is taxed, what should be taxed, who bears the burden of different public finance schemes, the disincentive effects of taxation depending on what is and is not taxed, and how tax dollars are spent.