One of the easiest ways to convince the public that the government is inept and wasteful is to make it as difficult to do the necessary as possible. If politicians cared, this wouldn’t be an issue.
In contrast, if the process is streamlined every year, most people won't even pay attention to how much they pay in taxes - which isn't great if your ultimate goal is to keep government as small as possible.
One should note that the cited study quotes the 45% from a 1992 study. These days, with gig economy and quasi-self-employment, that number is probably higher since you don't have an employer who reports your income for you.
Still, here in Australia, where we have the return-free tax system, adding what you earned from your various gig jobs isn't too hard: you add that as items to the web form: 'I made 15,123 from Uber Eats'. That just gets added to your overall return. I don't see how that's so hard compared to the US?
If uber paid you $15123 but you:
Just bought a new bike bc your other was stolen
You paid $1200 for insurance
You bought a helmet and cold weather clothes etc etc.
Those things reduce your taxable income.
They have simplified it nicely, though: if you work from home you can claim a per-hour deduction so you don't have to do the math of wear-and-tear, electricity, internet etc. I think it was $0.6 per hour?
Other countries presumably rely on other fraud signals. They might have more visibility into your day-to-day financial transactions, or there might be more of a culture of leaving an anonymous tip if you suspect your neighbor isn't paying a fair share.
All German readers spew out their drink in disbelief - Pardon what?
> United Kingdom, Japan, South Korea, New Zealand, Germany, Italy, Spain, Denmark, Sweden, and the Netherlands, among other countries.
toomuchtodo•7h ago