Thursday, December 12, 2013

The Problem With Tax Evasion

I have no sympathy for anyone who claims unpaid taxes are some sort of theft from the people, and I would argue for clemency to anyone caught evading taxes.  I don't believe for a second that paying taxes in any way helps anyone or anything.

I am familiar with St Paul's elucidation on this point:

Romans 13:5-7:
Therefore, it is necessary to submit to the authorities, not only because of possible punishment but also because of conscience. This is also why you pay taxes, for the authorities are God's servants, who give their full time to governing. Give everyone what you owe him: If you owe taxes, pay taxes; if revenue, then revenue; if respect, then respect; if honor, then honor. (NIV)

My objection to the applicability to this is first, we have a republic that has degenerated into a democracy, which is not a legitimate form of government.  And in any case, there is no connection between the tax laws written and our democratic vote.  We vote for peace and get war, we vote for no bailouts and get them anyway, we say no to stadiums but we get them anyway.  The passage above relates to polities ordained by God.  And the only form of government ordained, after great argument, is a kingdom (1 Samuel 8), leaving off the better anarchy.  And the USA is not a kingdom (whereas the Roman Empire was, as was Judea under Herod.)  There is no basis to offer honor, revenue, taxes, respect, etc...   more on that in a second...

But I do try to pay, at outrageous expense, with my tax "obligations" in general, although I am not above putting off a big ticket purchase now if I am going to be in Oregon soon, to save say the $100 in Washington taxes on a purchase in this state.  I cannot remember the last time I've done that (was it the chair?) and the last time I plotted to do this, sometime in October, none of the stores had what I was looking for so I wasted my time.  So I am not nuts about compliance, but probably more compliant than most, for a particular reason.

Also, part of the expense necessary to pay taxes I also take every exemption I can.  Fair is fair.

If I do not pay my taxes, I can hardly complain about them.  It is disingenuous to not pay taxes and claim they are a problem.  If you do not have cholera, cholera is not a problem for you, you cannot claim how hard cholera makes your life.  So to retain my right to complain, I pay the taxes.

Next, by paying the taxes I can say with immediate experience they are outrageous, counterproductive, and unfair.  Further I can demonstrate how they (along with the estate tax) destroy small business.  There is an 800 pound gorilla in the room, and that is how many small businesses cheat on their taxes, and must, to remain competitive against the large businesses that are exempt from taxes, compliments of the progressives who hate small business and fall over each other to outdo billion-dollar tax cuts to one company, Boeing.

Greece, Spain and Italy, and now France, are in trouble because they are just farther along the path.  With a $15 minimum wage plus Romney/Obamacare we'll get there sooner.  Youth unemployment, dying industries, collectivization, we are all going Soviet.  And ultimately, war is the health of the state.

What I advise.  Pay your taxes and go out of business.  Show them.  Of course, there is no safety net for the self-employed, but don't be afraid of the unseen.  You'll have a new perspective, and one that may be brilliant.

I am moved to say this for a particular reason.  I've been talking about the passage in the Bible where even Jesus paid his taxes, when there was zero basis for Him to do so, exactly where we find ourselves in USA today.  He confounded his abusers by asking whose image was on the coin by which taxes are paid, without answering the question. But finally, when it came to another tax, Jesus paid it, after some discussion.  But he performed a miracle to pay it, and while he was at it, covered Peter's tax too.  Why not, if you are going to perform a miracle anyway?  So my meme has been paying your taxes is a miracle anyway, so pay them.

Now a strange thing happened in the last few months.  I had a rather burdensome tax bill, for my sins, on one of those chaotic points built into the tax code that cannot be anticipated.  Nothing new there. The tax code is like a sniper, no one knows who is going to get picked off.  I set up a payment plan to ease the cash flow issues, but chafed at the interest applied, since I am trying to operate usury-free as well.  (Now that is an adventure!)  And let me say, I realize that all of this may very well make people glad they are not self-employed (or better described: customer-employed.)

So what happened?  One day the money was not withdrawn from my account.  This was around the "govt shutdown" so I just figured more weirdness.  But then another month passed, so I inquired, and was told the debt had been paid.  How?  "Could not tell you if I knew." came the answer.  So I asked for and received confirmation that the tax bill is paid (not forgiven or purged or erroneously discharged) but paid.  And I cannot find out why, only that it is.

A miracle?  No doubt there is a profane explanation, but from my point of view, a miracle.  Pay your taxes, even to an illegitimate government.  You can then complain.  You can speak your mind.  And who knows?  There may be a miracle.

Feel free to forward this by email to three of your friends.


0 comments: