An efficient tax system is:
1. Comprehensive – in other words, it is broad based;
2. Complete – with as few loopholes as possible;
3. Comprehensible – it is as certain as is reasonably possible;
4. Compassionate – it takes into account the capacity to pay;
5. Compact – it is written as straightforwardly as possible;
6. Compliant with human rights;
7. Compensatory – it is perceived as fair and redistributes income and wealth as necessary to achieve this aim;
8. Complementary to social objectives;
9. Computable – the liability can be calculated with reasonable accuracy;
All of which facilitate the chance that it will be:
10. Competently managed.
In combination these are key attributes of a good tax system.
Comprehensible, Computable…..these both mean that it must be the letter of the law, not the spirit, which is obeyed.
Well done Richard, you\’ve just undermined one of your basic points.