It's just a theory, but I'm somewhat convinced that half the reason Americans hate taxes is because of how inconvenient and in your face they are in the US: IRS requires you to fill in a complex form with no help and punishes you if you get it wrong, and sales tax is not part of the advertised price of goods. I reckon if you got rid of that then people would care about taxes a lot less.
There are certain actors in the US political system who definitely believe the complexity/pain of filing is a feature, not a bug, as it leads people to associate taxes with pain instead of the benefits of living in a successful modern industrial democratic state.
Combine that with a tax prep lobby whose incentives are to sell you a solution.
The IRS could have made things as easy for most Americans as places like New Zealand did two decades ago.
Property tax payment is very easy in the US, because it is usually done as part of your regular mortgage payment - people still dislike paying it.
The IRS is also a lot more helpful than commonly advertised - I once had a several thousand dollar expense reimbursement from work that my employer wrongly classified a miscellaneous untaxed payment to me. They didn’t attach any penalties, just sent a letter essentially saying “we think you forgot to include this in your income for YEAR, we think you owe $X + $Y interest.”(and the interest amount was very reasonable, like 3-4%)
I just emailed them a copy of the receipts and email I had sent to my employer when claiming reimbursement, and noted that I had not claimed those expenses on my tax return, if I had done , then it would have exactly matched the tax owed.
They replied a few weeks later telling me thanks and that I owed nothing extra.
I do worry about arbitrary abuse of government power in the US, particularly against those guilty of WRONGTHINK, but my personal experience was exactly what I would hope for as a citizen, professional, clear and timely.
I still would still like taxes to be lower - but if you told me I had to make a mandatory charitable donation of the same amount every year to a real charity, I would be fine with that. So in my case at least, it’s that I expect the unionized middle class government workers to get most of the benefit of my extra tax, not the poorest people in society who need it most (and who are usually presented as the need for such increased taxes)
Absolutely, and it's set up this way on purpose by people who believe that filing taxes should be as painful and difficult as possible so people associate the idea of taxes with the artificially difficult process. It doesn't have to be this way, the rest of us are just held hostage by anti-tax zealots.
You seriously think that people want less taxes just because they are difficult to file?
Don't you think that paying 10-40 percentage points more (like in Europe) of your wage each month has something to do with it?
The typical educated European makes 30k a year. 40-45% in taxes right off the bat. That makes the take home to be around 18k.
Sales tax is around 20% throughout Europe. That takes it from 18k to 16k.
Gas is double the price solely because of taxes
Property tax can increase the housing cost by 10%
Automobile property taxes are outrageous compared to the US. New vehicle registration tax can reach 150% in Denmark (if the car costs 30k, pay 45k to the state), but are pretty high everywhere. In Romania, to register a 10 year old car with a 2.4 liter engine you have to pay 6000 euros. In a country with the average wage 1000 a month.
I find it so amusing that people think taxes are just an inconvenience.
By the way, if you want to pay more, you can just donate your money to charities: you have a higher impact than giving it to government, much better directed at what you care about, very easy to do. Donate 10-20% of your raw income to an ngo, then talk about doing that for everyone, compulsory.
From what I've read, US tax burden is pretty similar to Europe if you include health insurance costs, you just get less for it. Property prices are the main thing that seems much worse in Europe, but that doesn't have anything to do with taxes.
Donating my income is besides the point, as it's the top income brackets that really need to be taxed. I would and do happily vote for higher taxes on myself when the option is available.
> US tax burden is pretty similar to Europe if you include health insurance costs
The U.S. collected 10% of its GDP in taxes in 2020 [1]; France and Italy did about 25%, Germany 11.5%. (Switzerland and "communist" China clock in below 10%.)
There is sufficient variation in tax policy across the EU, let alone Europe, to make broad-based comparisons meaningless.
For the US you're missing some taxes, too because the overall is somewhere near 30%, 10 percentage points lower than Germany. I think your US link does not include state and local taxes etc
> The typical educated European makes 30k a year. 40-45% in taxes right off the bat.
Drivel.
Here in Norway (widely reputed to be heavily taxed) a single person earning 30 kUSD and having neither debts nor savings would pay 4752 USD in tax, about 15%. You would then pay up to 25% VAT on things you buy (less on food and rent).
Sure, it's "VAT" - but it's essentially the same thing. You pay it for almost everything you buy. There are some lower rates for food in some places. But guess what, US has that too.
Thanks for the link, but again you're taking the exception as the rule. Most countries don't work like that.
(it's also possible that social security is deductible before income tax is levied as per this site but I'm not looking too deeply into it: https://expatcenter.ro/tax-guide/ )
Romania also don't work like that, in principle. They are simply much poorer country than Norway. 30k EUR salary in Romania is upper middle class income, so it is heavily taxed. People making average wage pay much lower taxes.
Also, if I get the linked calculator right, then it expects you to put MONTHLY salary, in RONs, not EUR. So, just putting 30000 there you get a monthly salary of over 6000 EUR, or 72k per year. And that's taxed at 41%.
Romania is much poorer than Norway, but the tax is the same - it's a flat tax rate. Play with the calculator and you'll see. The numbers are in RON - which is 5 times smaller than the dollar, and the value is implied to be monthly - but it makes no difference because of the flat rate.
In other countries you might have tax brackets, but I know from experience that it's very easy to reach 45% total tax rate (not marginal).
Tax hate didn't really begin in it's current form till Reagan as a backlash to the Civil Rights Movement. When black Americans were excluded from the programs that taxes paid for, resistance was minimal.
The Boston Tea Party happened because the British got rid of a tax, I wouldn't call that tax hate. Some locals were ticked off because the British screwed up their smuggling operation.
That's the point, every year you are aware of how much the government is taking from you. If citizens weren't aware of exactly how much taxes they paid they would be more inclined to want more tax increases
People should care about taxes a lot more. I want to know exactly how much money the government is taking from me by force. It's a good reminder that we need to be vigilant against uncontrolled government growth, and vote accordingly.
Americans hate taxes because we see little benefit from them. Federal taxes make up the brunt, and they mainly go to the military and corporate welfare. The biggest federal benefit is social security, and people don't see that until they retire. Even the benefits that do trickle back locally (eg highways, schools) are more of an end-run around state sovereignty rather than a respected benefit.
Local taxes mainly go to the domestic military and schools. You only see the main benefit if you have kids in public school.
State taxes are the most useful - large enough scale to accomplish things, but small enough scale to remain somewhat accountable. But since people can easily move between states, these become subject to intense politicking. For example, "Taxachusetts" even though its overall income tax rate is only 1.2x that of New Hampshire (32% vs 27%, for incomes $22k-$52k).
I'd personally love to see a flip of the magnitude of state and federal tax rates, money flowing between the two in the opposite direction, and a way for individuals to earmark what their tax money goes to. Some ability to steer taxes towards things they value would go a long way to making people feel enfranchised.
edit: lots of downvotes, but no counterpoints. While there are many things government does that I do value, I don't think their costs add up to anywhere near what is being paid in. What value do you feel you personally get from your taxes, apart from longing for some sort of social contract?
