There Were No Taxes In The Us – Taxes are necessary for the smooth running of the country, but have you ever experienced what will happen if the people stop paying taxes or the tax system is suddenly stopped?
Finding other sources of income:
When a country is established, the first thing they focus on is taxes. So, what are taxes, and why are they so important? Taxes are amounts of money collected from the public on a yearly or monthly basis. The collected money is used in running the country and providing services to the country.
So, the first thing the country must do is find itself an alternate source of income because taxes are the only source of income, and if that is stopped, they would not be able to run the country. The capital of the United Arab Emirates does not deduct taxes from its citizens because it already has so many running businesses, and they don’t need the tax money.
Most countries run on taxes and other sources of income. So, if taxes finish, the country could only run for a little while and bankrupt in the future. The same is the case with the United States of America. When taxes finish, the government of the United States of America must find itself other sources of income to survive and provide its citizens with the necessary services.
Cutting down expenses:
You must have noticed some state officials saying that the government must reduce their expenses to run the country. Why do you think they say that? There must be a reason. The reason is that the country is going through some difficult times financially, and it must cut down expenses to fulfill the demands of the people.
The government of the United States of America must do the same. If taxes are finished, they will have to cut down expenses to the minimum. Cutting down expenses could have a lot of meanings if we refer to the government. They will have to cut down salaries and pensions of government officers. Moreover, they will have to spend less money on security and keep the least cars possible. Moreover, the government also must cut down their expenses of foreign trips and the luxuries provided to the officers.
These are necessary because the country must survive. Even if the people do not pay taxes, the government has the right to provide the people with necessities. If they don’t do this, the country will collapse. As a result, the government must cut down its expenses and focus mainly on things.
The government does all sorts of things with the tax money, but it is not for personal gains as they spend almost all of it on the people. However, that is the case with only honest governments.
The tax money is used by the government to provide the public with different natural parks so that they can carry out their social activities. Once these parks are made, the government also must release funds to the caretakers to maintain these parks. If these parks are not maintained, they would look ugly, and the plants would eventually die.
The roads made by the government also must be maintained. Roads are used by all the people daily, and hence all types of dust can accumulate on them. As a result, we can say that if we don’t pay taxes, the government will have no funds to keep the parks and the roads clean. It could lead to an increase in dust pollution too.
No maintenance of infrastructure:
The type and quality of infrastructure show how developed a country is. The united states of America have a top-of-the-class infrastructure. As a result, we can say that the government of the United States of America has spent a good amount of tax money on building this infrastructure. The USA collects a lot of money in taxes, and so they have the incentives to make newer infrastructure.
Making the infrastructure is good, but what about maintaining it? Infrastructure is vital for a country, but maintaining that infrastructure is much more necessary. If the infrastructure is not maintained, it would look ugly and broken. Moreover, it would put a negative effect on the people of the state and will also be disliked by the people who visit that place.
It can affect the tourism industry also. The united states of America have a lot of infrastructure buildings that are known to attract tourism. If these buildings are not maintained, no one would want to visit them, and as a result, the tourism industry would decline. Taxes are vital as, without taxes, maintenance of these buildings is not possible.
If the people do not pay taxes
Along with tourist destinations, historical sites also must be maintained and preserved. The main reason for this is that these historic sites have great importance for the American public. Moreover, they are also a source of tourist income for the public. Imagine if the statue of liberty was not maintained, it would look hideous, and so no one would waste a boat trip to see it from a close distance.
Roads are also a part of maintenance. The Roads can’t be all set for longer periods. Roads will start to get damaged after a few years, and if they are not maintained, their situation will worsen. It can also lead to slow traffic or traffic jams. As a result, we can say that if the people do not pay taxes, the country would look very unclean and underdeveloped.
No development in infrastructure:
Taxes are used in multiple basic things, but out of those, the most important thing is the development of infrastructure. The united states of America have a big population. This population is increasing at a very high rate and is difficult to control. The more people in the country, the more infrastructures are needed. Infrastructure does not only include homes for the people. It includes parks, libraries, high-rise buildings, etc.
The united states of America have the infrastructure, but building this infrastructure was only possible due to the collection of taxes. If the tax payments stop, the population will not stop. As a result, a larger group of people would have to use that infrastructure as newer ones cannot be developed.
Member of the family to have a car and if the population increases
With the increase in population, the number of cars will also increase. Nowadays, it is common for every member of the family to have a car and if the population increases, the number of cars will increase. These cars will also require more roads, and if the government does not have taxes, they would not be able to build newer roads.
As a result, a time will come when the roads will have more cars than it can take and hence traffic jams will become common. It will cause real difficulties as people will not reach their offices on time, and the sick would not be delivered to hospitals. As a result, the rate of death will increase, and economic development will slow down.
Therefore, if people stop paying taxes in the United States of America, there would be no development in infrastructure, and it will lead to further problems.
Internal security problems:
The different law enforcement agencies in the United States of America are run by the tax money. Each state has a separate police department. And so the people of the state must pay taxes to keep their police department functional. The policy helps in maintaining the law and order situation in the country. And it is important for the safety of every citizen.
The police department consumes a lot in taxes. But no one objects to that as it is for the safety of the people. If people did not pay taxes, the police department would not be able to function. And if it does not function, the law and order situation in the country will deteriorate.
The police department must pay for the salaries of the policemen. And if they are unable to do so, many policemen will quit their jobs. As a result, there would be no one left to fight crime in the country. Even if the police departments arrange their salaries, they would not be able to provide them with the latest equipment or the fuel for their cars. If the policy does not have the proper equipment, how do you expect them to fight criminals? So, we can conclude that if people do not pay taxes, there would be no safety in the country.
External security risk:
The military of the country is also run by the taxes of the people. If people stop paying taxes, there would be no money with the government to pay the military. If the military does not have money. They would not be able to buy the latest equipment such as fighter jets and would have to stick to the older ones.
Moreover, they would have no fuel to pay to use those machines. So, we can say that we could reach zero military capacity if the people stop paying taxes. Moreover, our airspace and sea will not be safe as we will not be able to take out our ships into the sea to keep them safe. Maintenance of this military equipment will not be possible due to insufficient funds, and as a result. We will have outdated military equipment. As a result, we will be vulnerable to attacks from our enemies, and we will have to face consequences.
Poor health system:
The health system of the United States of America is one of the best in the world. And it is also run by taxes that the government collects from the people. The tax system of the United States of America has saved millions of lives till today.
The health care of the USA cares for the public, and it provides multiple loans to poor people. I’ll explain this using an example. If there is a person who has been poor all life. He will not have to pay his medical bills if he gets into an accident as it will be paid for by the government.
Moreover, if the person does not have the means to pay for medical treatment. He can apply for a health loan. Once he uses up this loan, he can pay for it in installments. If the people stop paying taxes, the government will not be able to provide. Such loans to the people, and as a result, more people will die. Furthermore, people will prefer home treatments as they cannot afford the medical bills. It can further endanger their health.
Unstable education system:
Along with health facilities, the government of the United States of America also has a renowned education system in the world. You must have heard about student loans. What is a student loan? It is a loan provided to the students when they start their higher education. The united states of America provide the best higher education in the world and the top universities are also located in the USA.
Due to this reason, higher education is quite expensive in America. Most people cannot afford it, so they apply for student loans. The government provides loans to continue with their education, and once the student secures a job, he will have to pay it back to the government. These loans are given from the state treasurer and the state treasury is supported by taxes from the people. If people stop giving taxes, there would be no student loans, and most students would have to go to other countries to acquire cheaper education.
Increase in foreign debt:
Taxes are the source of income for the government. It is the only source of income. If people do not pay taxes, the government must find other ways to run the country as it is the responsibility of the state to give the people necessities even if they do not pay taxes.
Most countries have another alternate, and that is taking debt from other countries. Takin debt is common amongst countries that are facing tough financial conditions. These companies take loans even when they are collecting taxes from the people.
In the worst-case scenario, the United States of America will have to take loans from rich countries such as China. The United States of America still owes loans to China and has to pay a debt of one trillion dollars to China. This debt was accumulated in the USA when they were taking taxes from the public. Imagine the number of loans the USA will have to take if the people stop paying taxes to the government.
To loan these resources from the people
Once the government takes too many loans and doesn’t reply, a time will come when these countries will stop giving more debt to the United States of America. Although America has a lot of resources, it also has a very big population and it can not fulfill those resources to these people. As a result, they will have to loan these resources from the people. When the debt limit is reached, these countries will stop providing resources in loans. I’ll explain using an example.
For instance, the government starts to import fuel from Saudi Arabia on a high level and fail to repay the Saudis. The studies will stop giving them oil, and it will result in an oil shortage in the country. Oil is connected to every industry. If the USA faces oil shortage, all the transport will come to a halt, and thus the prices will increase and goodwill not be delivered to the people
The government of a country needs to have some personal space to carry out meetings and run the country effectively. The government does not have one person; it involves multiple people that work for many federal organizations. All these organizations work together to run the country. The government buildings are maintained by using the taxes of the public. Moreover, the bills are paid by the taxes of the public.
If the people stop paying taxes, there would be no money to maintain these buildings, and also the government will not be able to pay for the salaries of the people working in these federal organizations. As a result, if people do not pay taxes, the government can not run smoothly, and these organizations may shut down.