We spend so much of our time planning on investments and other ways to save our taxes. But did you ever realize that there are no strict laws governing the payment of income tax, at least not in all countries? The law might not have much to say about tax payments. But still paying our taxes is very important. Here are some of the most important reasons why we pay taxes even if there are no laws that make it mandatory –
- There is so much for the government to run- like schools, colleges, hospitals and the infrastructure on the whole. All of these attract expenses. So who pays them if we do not pay our taxes?
- Everyone loves to be part of a civilized urbanized Creating such a region would not be possible without funds which the government gathers in the form of taxes. If every citizen takes a stand and stops paying taxes then the government would not be able to execute any of its plans.
- Besides building new structures maintaining them, even the basic ones like roads, come with costs – expenses on material and the labor. When every citizen pays his or her taxes on time then the government would not have to worry about a shortage of funds. In the long run, this would prevent the nation from getting into huge debts with commercial banks or loan sharks.
- When the country has the funds to manage all the systems then it would also have a significant improvement in the overall economy. When the economy gets better the people would also benefit in many ways. This can also make it easy to reduce the price of the essentials and bring down the cost of living. And this again would benefit the residents.