Earlier quoted context omitted.
I guess it was originally done this way because in the past people actually had some semblance of privacy and the government didn't actually know a great deal about people's income. Eventually, privacy was eroded away year after year to the point where the government now knows an extreme amount about each citizen. I guess I'd refrain the question - instead of asking why do we need to do taxes when the government know…
> instead of asking why do we need to do taxes when the government knows everything about us that they could do it for us They cannot do everyone's taxes since what they know about many individuals is incomplete. > should we really have that little privacy? Put that way, the answer is no. On the other hand, virtually everyone demands services from their government and very few people want those services to be transac…
No, for most individuals it is complete. Most people don’t own stocks directly (only an estimated 21% do)[1], and the ones who don’t are not probable to deal with complexly taxable transactions as the norm.
[1] https://www.axios.com/2023/10/18/percentage-americans-own-st...