Why Taxes Are Needed

Why Taxes Are Needed
Why Taxes Are Needed

Video: Why Taxes Are Needed

Video: Why Taxes Are Needed
Video: Do We Actually Need Taxes? 2024, December
Anonim

Fees and charges appear with the advent of government. It is known that in Ancient Egypt, in the second millennium BC, taxes were levied necessary to maintain the huge bureaucratic apparatus of this state.

Why taxes are needed
Why taxes are needed

Taxes are compulsory, statutory contributions to the state and local budgets, to state and non-state funds. They are extremely diverse in the way they are levied, in the object of taxation, and in the intended purpose. However, the general meaning of any of them is to ensure the economic activity of the state. The state, like any large farm, needs workers. These are bookkeepers, managers, doctors, teachers, security guards. In addition to internal affairs, the state has economic and political relations with its neighbors, so it needs an external economic apparatus, diplomats, and an army.

All this is supported by taxes. Every citizen pays income tax to the state budget. There are also sent fees from trade (value added tax), which are paid by commercial organizations from each purchase and sale. Excise taxes go to the state budget - taxes from the sale of consumer goods (salt, alcohol, etc.).

There are also established fees for paperwork: passports, visas, for the registration of legal entities, for the registration of property rights. Individuals are charged a set amount for the right to engage in entrepreneurial activity. Local budgets receive taxes from land owners and users, from home and vehicle owners, both legal entities and individuals.

Every working citizen makes contributions to the pension fund (now you can choose between state and non-state), and the health insurance fund.

The collected funds form financial resources for performing the functions and urgent tasks of the society. That is, so that citizens can live in safety, work, receive fair wages, be able to receive medical treatment, teach their children, drive on good roads, engage in entrepreneurial activities, and receive a pension. Actual tasks are formulated in state target programs (development of nanotechnology, support for agriculture, etc.).

With the help of the tax reporting system, the state exercises control over the economic activities of both individuals and organizations. Through the provision of tax incentives, certain types of activities that society need at the moment are encouraged. Finally, taxes help redistribute funds between different categories of the population.

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