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If AI replaces workers, should it also pay taxes?

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Re: If AI replaces workers, should it also pay taxes?

#111

Taxes are to fund government. Isn't the idea for AI and robotics to replace government? No taxes.

AI automates tasks. Governments carry responsibility. That gap matters even more in welfare states.

Social work demands judgment, trust, and moral accountability. Teachers shape citizens, not outputs. Health care relies on responsibility under uncertainty, not pattern matching. States run on legitimacy and human obligation, not efficiency alone.

Even if AI boosts productivity across these sectors, someone still funds universal care, education, and social insurance. Remove taxes and the welfare state collapses long before any ”AI government” appears.

Claiming AI replaces government skips the core question: who guarantees care when systems fail, people fall through cracks, or outcomes turn unjust? Algorithms can advise. They can’t answer politically or ethically.

Tax the concentration of wealth and power they amplify. Without that, automation doesn’t liberate society. It hollows it out.

Re: If AI replaces workers, should it also pay taxes?

#112
I think this is very silly. I dislike the whole AI hype as much as any other. But by that standard you could also ask "Should Photoshop also pay taxes?" or "Should printers also pay taxes?"

If we are oh so productive that people can make oh so much money then A) finally do collect taxes from wealthy people/companies/families and B) use those taxes to do obvious things that benefit everyone including the wealthy, like good infrastructure, healthcare, stuff that creates a stable society and seduction to face all the big problems that exist.

There are huge problems in every country and since the claim of AI is gonna create so much more productivity and wealth we should make use of the freed resources to finally tackle them instead of pushing everyone into dumb bullshit jobs.

We live in a world where rich people (and it doesn't really matter which country) use their companies to essentially live off taxes. "Oh that computer/car/jet/travel/video game/TV/house/...? I need for work. Look I have to fly to customers and oh I also have that social media thing for advertisement". Oh and then they claim they'll just leave the country if they have to pay taxes which would be oh so bad for the country they don't contribute much to.

And then the employees are essentially asked to pay the taxes to compensate. For them tax reduction means that they have to pay for things like infrastructure that largely benefits corporations themselves. But hey it looks great on the paycheck when the money you have to pay anyways isn't subtracted.

Re: If AI replaces workers, should it also pay taxes?

#114
post #101

Earlier quoted context omitted.

By your logic wheel barrows could potentially replace >90% of all jobs. AI is on track to being able to remove a society-changing amount of jobs, wheel barrows improved worker's efficiency.

Industrialization did replace 90% of people's jobs. And the only thing that happened was that people got new jobs to do.

[deleted]

Re: If AI replaces workers, should it also pay taxes?

#115
post #93

Looking at the actual article, the people suggesting taxes on AI are American Nobel laureate Edmund Phelps, and Bill Gates, founder of MSFT. The Europeans suggest more general taxes on capital instead.

Relevant: Manna

https://marshallbrain.com/manna1

Re: If AI replaces workers, should it also pay taxes?

#116

In a world where many western states extort their subjects for almost half the wealth they produce (OECD average is 34% and in countries like France the state extorts 46% of all GDP in taxes and other mandatory contributions and an insane 82% of all gross salary), some people first thought when they think of AI, is: “but how are we going to tax it?”. People on the left love to say “true communism has never been tried…

"True capitalism has never been tried". Be glad that it hasnt, otherwise you would have been charged half of your whole net-worth for an epi-pen.

Re: If AI replaces workers, should it also pay taxes?

#117
post #54

Earlier quoted context omitted.

Just to expand on this. The wheelbarrow increases the value of labor. It's not a good analogy.

It does lead to people loosing their job. If you have a pile of dirt that needs 3 people to move it with buckets but now 1 person can move the same pile with a wheelbarrow then the 2 others are out of a job. Same as when one developer with AI can do the job of 3 developers and the other 2 are fired.

do you have stats on moving of dirt with buckets vs. moving with wheelbarrows? Or is this just an assumption you are making? I think probably an assumption because how often do people move piles of dirt without wheelbarrows nowadays so where would you actually have your data from?

In my anecdotal experience moving piles of dirt manually (for large piles of dirt) it is generally the digging up of the dirt that takes the most effort, if I had to move it with buckets or a wheelbarrow I would still expect that to be the case.

I would furthermore expect that there are some functions at work in modelling the moving of large piles of dirt using manual labor.

Your model may make sense with a small pile of dirt but I don't think you will find 1 remains and 2 go, at best 1 goes and you take a bit longer to move the pile.

Also, this is just my observations of having had large piles of dirt to move with manual labor (including wheelbarrows and several of those) As you scale up the amount of people you could drop by adding wheelbarrows goes down, because again the main problem is the digging. The wheelbarrows becomes a thing you trade off diggers on running. You will want to have more wheelbarrows that wheelbarrow users so that diggers can fill wheelbarrows while the users are running the already filled wheelbarrows to where the dirt is being dumped.

At this point then you would probably want to drop the wheelbarrow analogy and go to a backhoe and a truck, but then all of the various observations of the other flaws in the wheelbarrow argument become apparent, such as the factories to build backhoes and trucks, the training for backhoe operator etc. All leading to a relatively strong argument that existence of backhoes and trucks are a boost to the environment, potential job creator and those jobs will be more skilled jobs leading to higher wages in the economy.

Re: If AI replaces workers, should it also pay taxes?

#118
post #30

Earlier quoted context omitted.

Exactly. This is such a silly argument. The article takes the argument "if a lot of jobs disappeared since they are now done effectively for free, what about tax revenue??" It really misses the forrest from the trees. You're transported into a world in which efficiencies mean that much fewer people need to work, but somehow government services and entitlements are unchanged and we need to hit roughly the same percent…

Also, if magical robot AI makes private operations more efficient, requiring less cost for the same or more amount, then it can do the same thing for government operations.

So, even more people out on the streets desperately trying to get their slice of survival by being sexually available to the equity lords? Because what else will there be?

Re: If AI replaces workers, should it also pay taxes?

#120
post #7

Wouldn't higher productivity also lead to higher profits? Which then should be taxed accordingly?

Only if the increased earnings are treated as profits. Amazon famously had zero taxable profit for, what, decades?

Amazon didn’t pay zero taxes, robbing the commons. Amazon engaged in trade and investment, taxed on all sides and at multiple points in the exchange of goods and services. Then Amazon invested their profits into further tax-creating transactions, reducing their tax burden that year.

When Amazon stopped investing and started extracting those profits everyone paid taxes on that giant money pile that wouldn’t exist without the investment. Every Amazon worker, CEO included, paid taxes all along. Amazon’s service providers and partners did. Amazon now does too, and the tax coffers have won big.

Taxation offsets from investments should be broadened (to individuals), not shamed.

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