We Filipinos often disregard the value of tax. We always complain whenever we compute how much tax are deducted in our salaries. So to make you feel better I will give you a small list of Importance of Taxation which I read in our Economics book.
Through tax, citizens can contribute and give their fair-share to the cost and expenses of government in order for the state to:
- Raise revenue
– No government can exist without it, it cannot promote the welfare of the people.
- Protect locally produced goods against competition from import by imposing higher custom duties.
- Protect new industries by granting tax exemptions.
- Regulate property.
- Distribute equally the wealth of the nation.
Credits: “Introduction to Economics” by Roman D. Leano, Jr. and Ronald M. Corpuz.
— The enforced proportional contributions from persons and property, level by the state for virtue of its sovereignty for the support of the government and for all public needs. (Meaning according to Cooley)
— The compulsory contributions to support the state.
— Lifeblood of a government.
— The supreme power of a sovereign state to impose burdens or charges upon persons, property or property rights for public purpose.
— Power vested upon the legislature for the purpose of raising revenues to finance government expenditures and for the general welfare and protection of its citizens.
— Method of apportioning the cost of government among those who in some measure are privileged to enjoy its benefits and must therefore, bear its burden. (Cooley, Law of Taxation)