Wednesday, January 5, 2011

Hogan claims to have paid 'enough tax'

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Sadly, I don’t think Hogan is a proud ‘tax evader’. I think he would have us believe that he pays all his dues. The question of what constitutes ‘enough tax’ as he calls it; the reality is that the government has no moral right to expropriate, coerce or deceptively extort money or assets from anyone. That is the principle that has to be upheld. In all honesty, I don’t think Paul Hogan has the convictions to defend that principle. I think it’s simply about the money. Is it any wonder that the wealthy continue to see their wealth pilfered and the poor justifying their claims to it....not to mention the middlemen in the tax office.
There is no such notion as ‘enough tax’. Firstly, tax is not paid on a ‘user pays’ basis as it should be, so what is enough. The basis upon which tax levels are imposed is nothing but extort. There is no rational basis for it; its totally arbitrary. Society’s whole notion of taxation is morally bankrupt. i.e. We celebrate the provisioning for the poor in terms of ‘spending increases’ with no consideration for the utility of that spending.
Some would argue that it’s hard to test the efficiency of such spending. It actually is very easy. The reason that it isn't done is because collectivists in the community don’t care, and certainly the government doesn't. Rather than advance a moral principle, Hogan has resorted to moral relativism, arguing:
'I have come to this great tax haven, the USA, where the IRS (Internal Revenue Service) are gentlemen compared to our lot’.
Really, he is setting himself up for failure there because he might find the IRS is the next agency to pursue him. More importantly, ask most Americans, and you will find that the Australian government is second only to the USA in terms of pernicious tax policy. The US like Australia is very aggressive in pursuing offshore income.
When Hogan arrived in Australia last year, the ATO issued a Departure Prohibition Order against him, which prevented him leaving the country until the alleged tax debt was paid or settled. Hogan argued:
“The only reason he was allowed to leave Australia was due to the publicity to his case by the international media. 'Guilty until proven innocent?’”.
This is precisely the point. You only get (slim) justice if you are a high profile personality. The law is arbitrarily applied. It shows just how weak legal protections are. There is consequently little justice for anyone because we are forced into a tyrannical compliance.
I frankly would be pleased if Hogan disclosed that he is a ‘tax evader’ and proud of it. But instead we have wealthy, high profile people defending or seemingly complying with an illegitimate system. This is how bad systems prevail because ‘good people do nothing’. Moral cowardice all round.
When will high profile people like actors, business people stand up and attack the legal system. The problem of course is that these so-called 'practical people' are so intellectually mal-formed that they don't see the distortion that government has on society at all levels. Government is 30% of GDP, which is probably worth 30c in the dollar, but add to that all the distortion to justice, pernicious laws, obstacles to investment, the protection of criminals, corruption, and malfunctioning of laws, and corruption of personal values...there is a lot of damage. Let us consider for a moment....a comparison....between China and Western countries. People think that China GDP grows at 10% per annum because of cheap labour. The reality is actually that its because its unencumbered by least effectively so. There is some level of 'structural' impact, but that is no different than the structural benefit realised by Australia's mining industry, and the state of WA in particular. The government actually hobbles our performance, it diminishes your moral character, it turns you into an utter moral sceptic, so you repudiate ideas cynically, because you wouldn't know a good idea if it struck you in the face. It leads people into psychological repression, which is ultimately why people just turn their backs on logic. That is a summary of the moral cowardice involved at all levels of society.

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