Tag Archives: Self-Employment Tax

What if there were no IRS and we paid taxes to our state instead?

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Imagine the USA with no IRS. Do we really need them?
The states can collect taxes and could collect self-employment tax or social security tax too. The states could hand over money to the central government monthly based on the size of their population as well. Wouldn’t it be a lot simpler to only pay tax to one entity? Your accounting procedure would be a lot easier.

If your state charged too much tax, you could move to another state. You might not want to move, but at least you would have the right. If you have had trouble with the IRS, you have nowhere to run. Even if you leave the USA, if you have assets here or are planning to come back, you cannot hide.

I am a person who likes choices. I prefer having good choices, but bad choices are better than no choices. I like the idea of having states to choose from. Better yet, imagine that the USA was comprised of 400 states, each with a different philosophy. You could have a state for solar energy lovers. Another for organic food fanatics. You could have a vegan state, and a pot smoking state. This way you would have the right to live with people who think like you do. For those who are Republicans, they would probably have a lot of states, but there could be different breeds of Republican states. Even if you lived in a state that wasn’t exactly your cup of tea, you could sleep soundly knowing that you had the choice to move to a state that suited your fancy!

With all of this crazy behavior in congress, I am beginning to think that my idea of the states being the sole entity collecting taxes might come to fruition. Our Federal government could be dissolved any day now. I think that realistically, it won’t last more than another 10 years. Sad, but with this crushing debt, they will default. On the other hand, what if the idea of globalism comes into play? Then we would all be citizens of the world! Hmmm. That sounds really scary.

(1) What if we paid taxes only to our state, but not to the Federal Government?

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