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Double taxation is a talking point, not a philosophical problem. It's like rebranding the inheritance tax as the death tax to make it sound unfair or absurd ("they tax dying in this country!!!").

Double taxation happens constantly in all sorts of contexts, for instance, most of us pay income tax, and then pay sales tax using those already-taxed dollars, and then the seller pays income tax on the money received less sales tax.

The reason we tax in so many ways is mostly some combination of "hysterical raisins" and politics (it can be politically easier at different times to raise revenues in different ways, and restructuring the tax code will create winners and losers so maintaining the patchwork status quo is easier), but it's not necessarily a bad thing to tax with a variety of methods. There is a certain amount of administrative overhead in having a corporate and personal income tax, a payroll tax, a sales tax, a property tax, etc etc etc, but doing so also makes it harder for someone to dodge taxes entirely -- restructuring to avoid personal income taxes can put you in line for corporate income taxes and vice versa, for instance. Holding lots of land subjects you to property taxes instead of corporate taxes on the companies you own stock in. Meanwhile all of these separate taxes create paper trails that can be used in the mutual enforcement of all taxes. If you run a business and your sales tax receipts, corporate taxes, and personal income taxes don't roughly line up, it signals that an audit may be called for. The tax system becomes a checksum for itself.

Now, this may all just be status quo rationalization, but my point is, "double taxation" is just a shibboleth and not itself a reason to radically reform the tax code.



Agreed. Its infinite taxation, as the money goes around and around in a circle. It's all green, and all been taxed many times.

As the philosopher said, taxation is the art of plucking a goose so as to get the most feathers with the least squawking.




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