If I find a way to pay no taxes, I improve my lot in life. I have more money left over to dispose of as I consider best.
Are there any short-comings to this approach?
The implicit assumption is that all other things remain the same. I’m still counting on the same protection of
- Law and order. Police, fire, and courts.
- Against foreign enemies. The armed forces, diplomatic missions
- Against unfair asymmetrical business arrangements, by regulations and governmental oversight of corporations
- Continued education of my children as well as of the work force of the future.
Yet all of these assumptions depend on tax revenues, which are lessened by each person and corporation who avoid paying their taxes. If everybody does as I do, then we can’t afford all the implicit assumptions. We lose the perks of civilization.
Law of Selfish Action
Many people fall prey to this fallacy of composition in everyday actions.
A selfish action by one person may be good for that person, but if all people make the same decision—it can be bad for everyone.