CHAPTER 2

Taxes and Funding Public Policy

Don’t tax you, don’t tax me; tax that fella behind the tree.

—Senator Russell Long

Taxes are what we pay for civilized society.

—Oliver Wendell Holmes, Jr.

Government in some form goes back to the start of civilization and funding government from some source was a first consideration (Presumably, a golden age existed before governments, lawyers, and accountants.). Priests, war lords, or kings and queens needed funds to provide defense, build palaces, attack the nearest neighbor, or store food for the upcoming winter. Accounting was there to keep track of the tribute, booty, tithe,1 or tax. Early taxes no doubt were in the form of goods—so much wheat, barley, cattle, or beer. The concept of taxes needed ...

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